Praesidian News

Media Contact: Dan Jacobs
Broadgate Consultants LLC
Phone: 212.232.2227

Praesidian Capital Finances Planet Fitness Acquisition of World Gym International
Combination Of Leading Global Health Club Chains Results In Global Network Of Approximately 400 Franchises

NEW YORK — November 15, 2006 — Praesidian Capital Investors ("Praesidian"), a leading provider of mezzanine debt to middle market companies, has provided $3,000,000 in subordinated debt to help finance the acquisition of World Gym International by Planet Fitness, the leading value health club chain in the United States. The transaction combines Planet Fitness, the innovator and leading operator and franchisor of "value" health clubs, with World Gym, one of the most recognizable names in the health club industry. Collectively, the Company will have approximately 400 units operated under two of the strongest brand names in the industry.

"This transaction combines two leading brand names in the steadily growing value sector of the health club industry," said Jason Drattell, Managing Partner at Praesidian. "The management teams of each of these companies have created and built their own distinctive, identifiable and successful brands in the health fitness industry. As a combined entity they will maintain their niche brands, yet also benefit from operating synergies that exist between them."

"Praesidian's experience helping fitness club operators grow into more successful enterprises makes them the ideal partner," said Mike Grondahl, Chief Executive Officer of Planet Fitness. "World Gym is a great example of how our resources, business model and infrastructure now allow Planet Fitness to expand on its leading market position."

Since the close of its debut fund in February of 2005 on $157 million, Praesidian has established a strategy of providing mezzanine capital to historically profitable middle market companies with talented management teams throughout the United States. The firm has invested in thirteen separate companies and has completed five add-on investments in existing portfolio companies. In August, Praesidian completed its fourth investment in Club Ventures Investments LLC, owner of David Barton Gym, a business Praesidian has helped transform into a multi-city network of high-end fitness clubs.

About Praesidian Capital Investors
Praesidian provides mezzanine debt to middle market companies. The firm provides capital for established, historically profitable companies, as well as for management/leveraged buyouts, recapitalizations and refinancings. Investments are focused on successful businesses in the manufacturing, distribution and service sectors, although the firm's approach is not driven by an industry focus. For more information, visit www.praesidian.com.

About Planet Fitness
Planet Fitness, founded in 1992, is the leading value health club chain in the United States. The Company owns and operates company-owned fitness facilities and is a master franchiser of Planet Fitness facilities across the country. Planet Fitness has nine company-owned fitness facilities, six in New Hampshire, one in Massachusetts and two in Chicago. The Company also has an additional 77 franchised locations currently open across 19 states. For more information, please visit www.planetfitness.com.

About World Gym International
World Gym International, founded in 1980, franchises approximately 268 health and fitness centers in more than 30 states and 20 countries. World Gym is one of the most respected and trusted names in fitness today. For more information, please visit www.worldgym.com.

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