Eckental, Germany, July 27, 2004 

Middle market investment group SJ Partners, LLC through its investment affiliate SJ 42.2k GmbH, has acquired an interest in House of Sports GmbH & Co. KG.

House of Sports (HOS) is a leading regional independent fitness operator located in Eckental, Bavaria (Germany). The firm is distinguished by its comprehensive range of top quality offerings include golf, fitness, tennis, children’s camp, and a top flight wellness center.

“We are excited to team up with House of Sports and the solid franchise they have established. With only 6% of Germans fitness club members which is well below the 14% rate in the United States, we look forward to working with the company as they and the industry overall continues to grow. With its unique, full service strategy that focuses on less competitive suburban zones, we are confident that HOS will be able to exploit the many growth opportunities present,” stated SJ Partners CEO Scott Johnson.

“We are pleased to welcome SJ Partners as a shareholder and are eager to benefit from their perspective on the industry,” stated Markus Giegold, Chairman of House of Sports.

About House of Sports GmbH & Co. KG

House of Sports is a leading regional independent fitness operator based in Eckental, Germany.

About SJ Partners, LLC

SJ Partners (SJP) acquires and advises middle market businesses. SJ Partners invests in consumer and services companies with $1-5 million in cash flow. Industries of particular interest include food distribution, point-of-purchase displays, consumer products, contract manufacturing, information services, and education. SJP also provides select investment banking services.

SJP’s resources provide a deep base of operating and research knowledge. SJP’s founder and CEO Scott Johnson was trained as an equity analyst and was a member of a #2 rated Institutional Investor rated team at Merrill Lynch. The firm also benefits from its affiliated relationship with the NPD Group, the nation’s largest private consumer market research company. Lastly, SJP works with a set of operating partners who each have over 20 years of experience in the distribution, consumer and services industries.

For more information:

Scott Johnson SJ Partners, LLC