JAPONICA EXPANDS TOP QUARTILE HURDLE WITH GLOBAL INDICES

-----New global benchmark for entrepreneurial co-investor business model-----

Dateline: Providence, Rhode Island USA, August 15, 2005

Japonica Partners expands its Top Quartile IRR Hurdle Rates with a global stock index alternative. The new Top Quartile IRR Hurdle Rate is the MSCI World index plus 500 basis points.

Japonica’s patent-pending Top Quartile IRR Hurdle Rates demand performance superior to major asset class benchmarks. By design, they cultivate entrepreneurial ROIs.

“The global capital markets will benefit greatly by adopting our Top Quartile Hurdle Rates,” commented Japonica Partners Founder & Managing Director Paul B. Kazarian. “The structure better aligns co-investor interests.”

Japonica’s other patent-pending Top Quartile IRR Hurdle Rates are both relative and absolute return: 1,000 basis points above the 3-month U.S. Treasury Bill, 500 basis points above the S&P 500 or S&P 400 indices, 500 basis points above the MSCI Europe index, and 15% fixed.

Other innovative features of the patent-pending IP are: cash-based accounting; profit sharing only after 100% return on investment and Top Quartile IRR Hurdle Rates; no annual management fee or advisory fees; and operating management forgoing industry standard incentive compensation.

About Japonica Partners

Japonica Partners is an entrepreneurial co-investment firm that makes concentrated investments in underperforming global large caps, providing entrepreneurial returns for accomplished money managers who succeed with top quartile performance.

For more information contact:
Chet Hollister
Principal
Japonica Partners
401.861.6160
chollister@japonica.com