Pangaea Asset Management, LLC

1
Pangaea Asset Management, LLC

• Company Overview
• August 2008

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Additional Disclosures

• This material is intended as a broad overview of
  the portfolio manager's current style, philosophy
  and process. This material is presented solely
  for informational purposes and nothing herein
  constitutes investment, legal, accounting or tax
  advice, or a recommendation to buy, sell or hold
  a security. No recommendation or advice is being
  given as to whether any investment or strategy is
  suitable for a particular investor. Readers
  should not assume that any investments in
  securities, companies, sectors or markets
  identified and described were or will be
  profitable. Information is obtained from sources
  deemed reliable, but there is no representation
  or warranty as to its accuracy, completeness or
  reliability. All information is current as of the
  date of this material and is subject to change
  without notice. Any views or opinions expressed
  may not reflect those of the firm as a whole.
  Certain products and services may not be
  available in all jurisdictions or to all client
  types. Investing entails risks, including
  possible loss of principal.

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Table of Contents

• Pangaea Asset Management, LLC
• History
• Organizational Chart
• Timeline
• Pangaea Investment Activity
• Portfolio Management
• Investment Philosophy
• Investment Sourcing
• Investment Monitoring
• Conclusion
• Appendix A Biographies
• Appendix B Pangaea Management Team Experience
• Appendix C Summary of Assets Under Management

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Pangaea Asset Management, LLC

• Pangaea Asset Management, LLC was founded in
  February 2007 by Barry Shear, David Schmuck and
  Michael King.
• Norwest Equity Partners, along with management,
  have made an initial 75mm equity commitment to
  the company
• Norwest Equity Partners has over 3 billion in
  capital under management. Wells Fargo has been a
  major limited partner in Norwest Equity Partners
  for over 40 years.
• The founding partners have broad experience in
  the leveraged loan market. (see biographies
  listed in Appendix A)
• Barry Shear was a founding partner in 1996 of
  Antares Capital which became a market leader in
  arranging syndicated middle-market sponsored
  loans.
• Barry Shear and David Schmuck were members of the
  Investment Committee at Antares Asset Management
  which became a market leader in managing loan
  portfolios for third party investors.
• Michael King was head of Credit Underwriting at
  Antares Capital.

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Pangaea Asset Management, LLC

• From 1996 to 2005 Antares Capital
• Founded in partnership with MassMutual.
• Became recognized as a leader in providing debt
  financing to middle-market companies controlled
  by private equity firms.
• Created Antares Asset Management, which
  responsible for management of over 2 billion in
  debt investments . Investments were spread
  across 7 different CLO vehicles and three
  separate accounts.
• Third party managed portfolios were generally
  divided evenly between debt investments in
  middle-market companies and larger broadly
  syndicated credit facilities (Appendix B).
• Antares Capital and its wholly-owned subsidiary
  Antares Asset Management were sold to General
  Electric Capital Corporation (GECC) in 2005.
• Managed approximately 3.5 billion in loans at
  the time of its sale. (1)
• (1) General Electric Co. Form 8-K dated January
  20, 2006.

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Pangaea Asset Management, LLC

• After the sale to GECC, Antares Capital was
  merged with the GE middle-market sponsor finance
  business and the combined unit was renamed GE
  Antares.
• Barry Shear became President of GE Antares.
• Michael King became head of Credit Underwriting
  for GE Antares.
• Dave Schmuck became Managing Director and CLO
  Portfolio Manager at GE Asset Management.
• The GE Antares middle-market lending business
  doubled in size to approximately 8 billion in
  assets under management after this combination.
  (1)
• (1) Crains Chicago Business article dated
  October 11, 2005.

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Pangaea Asset Management, LLC

• Pangaea Asset Management, LLC has grown its
  managed investment portfolio to over 1 billion
  since March 2007.
• Closed on a strategic Sourcing Alliance with GE
  Antares.
• Pangaea CLO 2007-1 Ltd., a 300 million portfolio
  of performing senior secured loans, closed in
  August 2007. The estimated cash-on-cash yield
  for the next 12 months to an equity investor that
  paid par is in the low to mid-twenty percent cash
  on cash yield.
• In addition, Pangaea acquired the portfolio
  manager of Sargas CLO 1 Ltd., a 314 million
  portfolio of performing senior secured loans.
• Pangaea was also appointed sub-servicer by 250
  Capital, LLC for the 400 million portfolio of
  performing senior secured loans in the Merrill
  Lynch CLO 2007-1 Ltd. transaction.
• Appendix C contains a summary of these
  transactions.
• A significant capital base, strong track record
  and talented team positions the company for
  further growth. We are comfortable with our
  ability to add future talent as needed in support
  of growth.

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Pangaea Organization Chart
Investment Committee
Barry N. Shear Senior Managing Director and
President (30 years)
Teri Marus Office Manager
David R. Schmuck Senior Managing Director (24
years)
Michael P. King Senior Managing Director (15
years)
Bruce Saewitz Managing Director (33 years)
Thomas J. Bax Chief Financial Officer, Chief
Compliance Officer (27 years))
Ryan Metcalfe Director (10 years)
Ross Van Drunen Senior Analyst (11 years)
Chris Brown Managing Director (12 years)
Kristin Clark Senior Analyst (11 years)
Matt Nels Senior Analyst (11 years)
Douglas Crimmins Managing Director(19 years)
Sean Treanor Director of Operations (11 years)
Mark Maglaya Senior Analyst (10 years)
Nathan Harrell Associate (4 years)
John Thies Operations Analyst (8 years)
Matt Tuchband Analyst (9 years)
James Jago Associate (3 years)
Seth Friedman Operations Analyst (4 years)
Jeff Cupples Associate (5 years)
Numbers in parentheses represent years of
experience
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Timeline



Antares Capital Founded
GECC Purchases Antares Capital
Pangaea Founded
Antares Asset Mgmt. Founded
Antares Funding CLO
Nova CDO 2001
Pangaea CLO 2007-1
Navigator CDO 2003
Navigator CDO 2005
Navigator CDO 2004
Navigator CDO 2006
CS Advisors LLC Acquired Subservicing Agreement
for Merrill Lynch CLO 2007-1
Mariner CDO 2002
Separate Account - Loans
Separate Account Stressed Loans
Separate Account - Loans
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Portfolio Management

• Defensive Portfolios
• Broad deal flow from which to select investments.
• Obligor concentrations that generally dont
  exceed 1.5.
• Industry concentrations that generally dont
  exceed 10.
• Forward looking credit analysis.
• Trading strategies
• Adjust portfolios within portfolio guidelines
  based on relative value analysis.
• Credit risk sales across portfolios and no sales
  between portfolios. Trade allocations are
  documented.
• Focus on par preservation.
• Transparency, accessibility, and accountability.
• Quarterly investment manager report.
• E-mail, telephone, and in-person updates.
• Password protected investor portal via Pangaea
  website.
• Members of the Pangaea team have managed
  portfolios for over 50 different institutional
  investors, both within and outside the US.

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Investment Philosophy

• Due diligence focuses on an analysis of free cash
  flow and fundamental business value. Investment
  underwritings cover the following
• Diversity of products, customers, suppliers, and
  geographic markets.
• Raw material risk.
• Historical and projected financial performance.
• Industry/business economic cycle risk.
• Level of equity sponsor involvement.
• History of capital market access.
• Management team experience.
• Structural and legal analysis.

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Investment Sourcing

• Pangaea has significant market experience and
  long-standing relationships to generate broad
  deal flow.
• Analyst team is in constant contact with other
  institutional debt investors and agent banks due
  to managing debt investments in over 275
  non-investment grade companies.
• Experienced manager of credit risk, including
  investments in both middle market and broadly
  syndicated credit facilities.
• Over 100 different private equity firms are
  represented within the managed portfolios.
• Pangaea managed portfolios have purchased debt
  investments from 20 or more different agent
  banks, the top five agent banks where Pangaea
  sourced investments in the larger credit
  facilities were JP Morgan, CSFB, BofA, Citi, and
  GS.

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Investment Monitoring

• Active participant with forward looking analysis
• Bank meetings, lender calls, management
  presentations, equity sponsor updates, industry
  conferences, investor dialogue, and trade
  publications.
• Pangaeas proprietary investment monitoring model
  (PARM) is used to monitor portfolio
  investments
• Forward looking model.
• Assesses risk of payment default, borrower
  fundamentals and potential recovery values.
• In addition, analysts follow these other key
  variables
• Cash flow forecast, covenants, market position,
  key personnel, and loan to value.
• Pangaea has actively repositioned portfolios to
  protect downside risk and gain added relative
  value.
• Buy/Sell/Hold recommendation by analyst with
  Pangaea Investment Committee oversight and
  approval.

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Conclusion

• Pangaea is uniquely situated to see performance
  across a broad cross-section of U.S. companies
• Investments in approximately 275 different below
  investment grade companies across 32 different
  industry groups.
• Long-standing and active relationships with
  agent banks and the private equity sponsor
  community.
• The Pangaea team has demonstrated success in
  building a niche financial service firm and has
  managed credit risk through multiple business
  cycles.
• The founding partners of Pangaea also held key
  leadership roles at Antares Capital which was a
  leading provider of debt financing to mid-market
  companies.
• Over the past nine years the team has managed
  over 3 billion in investments for third party
  investors in both leveraged and unleveraged
  portfolios.

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Appendix A - Biographies

• Barry N. Shear, Senior Managing Director and
  President
• Mr. Shear is a founding partner of Pangaea Asset
  Management, LLC and Chairman of the Pangaea
  Investment Committee.Prior to founding Pangaea,
  Mr. Shear was President and Senior Managing
  Director of GE Antares. Prior to GE Antares, Mr.
  Shear was President and a co-founder of Antares
  Capital Corporation and its wholly owned
  subsidiary, Antares Asset Management. Antares
  Capital Corporation was founded in 1996. Mr.
  Shear was also a member of the Antares Asset
  Management Investment Committee.In 2005,
  General Electric Capital Corporation (GECC), an
  affiliate of GE, acquired Antares Capital
  Corporation (ACC) and Antares Asset Management,
  Inc. (AAM). Prior to the acquisition, ACC and
  AAM were engaged in the management of the
  following CDO transactions Antares Funding L.P.,
  Nova CDO 2001, Ltd. (as Advisor), Mariner CDO
  2002, Navigator CDO 2003, Navigator CDO 2004,
  Navigator CDO 2005. Prior to forming Antares
  Mr. Shear spent ten years at Heller Financial,
  Inc. where he was involved in new business
  development within the Corporate Finance Group.
  Prior to Heller, Mr. Shear spent five years as a
  Regional Marketing Manager in Chicago with Bank
  of Americas Business Credit Group. He has been a
  lender to the leveraged buyout community since
  1980. Mr. Shear has a B.S. degree from
  University of Illinois and an M.B.A. from
  University of Southern California.

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Appendix A - Biographies

• David Schmuck , Senior Managing Director and
  Chief Operating Officer
• Mr. Schmuck is a founding partner of Pangaea
  Asset Management, LLC and member of the Pangaea
  Investment Committee. He is responsible for
  communicating to the Investment Committee managed
  portfolio guidelines. He is also responsible for
  communication with the firms investor
  base.Previously he was Managing Director and
  CLO Portfolio Manager at GE Asset Management
  (GEAM), where he, as part of the bank loan
  team, was responsible for management of
  approximately 2.1 billion in collateralized loan
  obligation (CLO) transactions. He had portfolio
  management responsibility for Antares Funding,
  LP, Nova CDO 2001, Mariner CDO 2002, Navigator
  CDO 2003, Navigator CDO 2004, Navigator CDO 2005
  and Navigator CDO 2006. Mr. Schmuck joined GEAM
  in November 2005 when General Electric Capital
  Corporation (GECC), an affiliate of GE,
  acquired Antares Capital Corporation (ACC) and
  Antares Asset Management (AAM).Prior to GEAM,
  Mr. Schmuck was a member of the Investment
  Committee for AAM and also Chief Financial
  Officer of ACC. Prior to the acquisition by GECC,
  ACC and AAM managed the following transactions
  Antares Funding L.P., Nova CDO 2001, Ltd. (as
  Advisor), Mariner CDO 2002, Navigator CDO 2003,
  Navigator CDO 2004, Navigator CDO 2005.Mr.
  Schmuck worked for nearly 11 years at Heller
  Financial, Inc. prior to Antares. Most recently
  he served as Senior Director of Asset
  Distribution at Heller focused on asset-backed
  securitization transactions. Mr. Schmuck has been
  an active participant in the leveraged loan
  market since 1988.Mr. Schmuck is a Certified
  Public Accountant (inactive) and received a B.S.
  degree in accounting from Miami University
  (Oxford, Ohio) and his Masters degree from
  Northwestern Universitys Kellogg School of
  Management.

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Appendix A - Biographies

• Michael King, Senior Managing Director and
  Executive Vice President
• Mr. King is a founding partner of Pangaea and a
  member of the firms Investment Committee. He is
  responsible for the credit underwriting and
  monitoring functions at Pangaea. His team
  presents analysis and investment recommendations
  to the Pangaea Investment Committee.Previously,
  Mr. King was a Managing Director at GE Antares
  where he managed over 60 deal professionals in
  structuring and underwriting all transactions for
  the leading originator of middle-market sponsored
  credits. Prior to GE Antares he managed the
  underwriting function at Antares Capital
  Corporation beginning in 1999. Prior to Antares,
  he worked with PPM America, Inc. where he
  co-managed a 700-million senior secured debt
  portfolio. Mr. King began his commercial lending
  career with First National Bank of Chicago
  structuring and underwriting leveraged media and
  communications debt facilities. He has more than
  fourteen years of commercial lending experience.
  Mr. King has a B.A. in Economics from Marquette
  University and an M.B.A. from DePaul University.
• Bruce Saewitz, Managing Director
• Mr. Saewitz is responsible for marketing Pangaea
  to private equity firms and middle-market agent
  banks.Previously, at the Blackstone Group, he
  established an organized national calling effort
  directed at buyout sponsors looking for mezzanine
  debt investment opportunities. Prior to
  Blackstone, Mr. Saewitz spent twelve years at PPM
  America where he was a leader in building a
  national sponsor customer base, initially looking
  for senior debt and one-stop debt financing
  opportunities. Later, the business was
  transitioned from debt to an equity model,
  whereby they invested in buyout funds and sourced
  direct equity co-investment opportunities from
  sponsors. Prior to PPM, Mr. Saewitz sourced
  mezzanine debt opportunities for Equitable
  Capital. He started his career at GE Capital in
  1974, where he held various credit and marketing
  positions in their Corporate Debt Group over a
  fourteen-year period. He has over thirty years of
  experience in the private equity business, as
  both a lender and equity investor.Mr. Saewitz
  received a B.A. Accounting from Queens College.

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Appendix A - Biographies

• Chris Brown, Managing Director
• Mr. Brown is responsible for sourcing and
  managing Pangaeas distressed debt investments.
• Previously, Mr. Brown was a founding partner of
  Newberry Capital Management, a distressed
  debt/special situations fund.  He led Newberrys
  research and due diligence efforts and closely
  oversaw monitoring of portfolio investments.
   Prior to Newberry Capital, Mr. Brown was a
  portfolio manager in the Special Credit
  Opportunities Group within Ritchie Capital
  Management.  Mr. Brown joined Ritchie Capital in
  September 2004 where he was primarily responsible
  for the research efforts of the group.  In this
  role he was actively involved in a number of
  bankruptcies and workouts. From 1999 until July
  2004, Mr. Brown was a Vice President in the
  Special Investments Group of PPM America.  The
  group managed four funds totaling over 1 billion
  that purchased and actively managed investments
  in the debt and equity of distressed and other
  leveraged companies.   Prior to joining PPM, Mr.
  Brown worked for four years at the Bank of
  America, first as a Loan Officer in the
  middle-market lending group and later as an
  Associate Director on the Banks loan trading
  desk.  Prior to that he was a financial analyst
  at the Federal Reserve Bank of Chicago.  
•  
• Mr. Brown received his M.B.A from the University
  of Chicago in 1995 and his B.A. in economics from
  the University of Michigan in 1991.  In addition,
  he is a CFA charterholder and a member of the
  Investment Analysts Society of Chicago.

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Appendix A - Biographies

• Douglas Crimmins, Managing Director
• Mr. Crimmins is responsible for business
  development and fund raising efforts.
• Prior to joining Pangaea, Mr. Crimmins worked
  from 1993 through 2008 in fixed income sales at
  Citigroup and its predecessor firm Salomon
  Brothers. His most recent position was running
  Midwest distribution for structured credit and
  private placements. Distribution involved all
  aspects of the capital structure across all key
  asset classes including both cash and synthetics.
  From 1989 through 1991, Mr. Crimmins worked at
  Blackrock Financial Management as an Associate
  raising assets and working on financial advisory
  assignments. Prior to Blackrock, Mr. Crimmins
  worked two years at Lehman Brothers as a
  corporate finance analyst in the mortgage and
  financial institutions group.
• Mr. Crimmins received his M.B.A. from the
  University of Chicago in 1993 and his B.A. in
  economics from Brown University in 1987.
• Ryan Metcalfe, Director
• Mr. Metcalfe is responsible for sourcing,
  evaluating and managing senior debt investments
  and conducting secondary trading
  activities.Prior to joining Pangaea, Mr.
  Metcalfe was with GE Asset Management (GEAM)
  and prior to that he was with Antares Asset
  Management. At both firms he was responsible for
  sourcing, underwriting and managing broadly
  syndicated and middle-market investments for six
  CLOs that managed in total approximately 2
  billion. Prior to Antares he spent five years
  with the Investment Banking Group of Robert W.
  Baird Co., focusing on middle-market mergers
  and acquisitions and public and private equity
  offerings.Mr. Metcalfe graduated with highest
  honors from the University of Illinois at
  Urbana-Champaign with a B.S. in Finance.

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Appendix A - Biographies

• Kristin Clark, Senior Investment Analyst
• Ms. Clark is responsible for sourcing,
  underwriting and monitoring Pangaeas senior debt
  transactions. Prior to joining Pangaea, Ms.
  Clark was an employee of GE Antares Capital. She
  joined GE Antares Capital in 2005, when Antares
  Capital Corporation was sold to General Electric
  Capital Corporation and merged with the GE
  middle-market sponsor finance business. Prior to
  GE Antares she worked at Antares Capital
  Corporation where she started as an Associate in
  1999, and was ultimately promoted to Senior
  Associate and Vice President. During her tenure
  at Antares, Ms. Clark was responsible for the
  structuring, underwriting and documentation of
  middle-market debt transactions. In addition, she
  was responsible for developing many of Antares
  portfolio-management best practices. Prior to
  her employment with Antares, Ms. Clark spent
  three years with Tucker Alan, Inc. in the
  financial/litigation consulting industry.Ms.
  Clark holds a B.S. in Finance and Marketing from
  the University of Virginia.

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Appendix A - Biographies

• Mark Maglaya, Senior Investment Analyst
• Mr. Maglaya is responsible for sourcing,
  underwriting and monitoring Pangaeas senior debt
  transactions.Prior to joining Pangaea, Mr.
  Maglaya served as an Assistant Vice President
  with CIT Groups Global Sponsor Finance practice
  where he was responsible for the structuring,
  underwriting and documentation of CITs
  middle-market senior debt transactions. Before
  serving in this capacity, Mr. Maglaya spent 5
  years with Antares Capital Corporation assisting
  in the structuring, underwriting, documentation
  and management of Antares middle-market senior
  debt transactions. Prior to Antares, Mr. Maglaya
  was an Investment Analyst for UBS OConnor, LLC,
  a Chicago-based hedge fund manager and affiliate
  of UBS Investment Bank. Mr. Maglaya began his
  career at KPMG where he spent over two years as
  an auditor in the investment management services
  industry. He received a B.S. in both Accounting
  and Finance from Indiana University.
• Matthew Nels, Senior Investment Analyst
• Mr. Nels is responsible for sourcing,
  underwriting and monitoring Pangaeas senior debt
  transactions.Prior to joining Pangaea, Mr. Nels
  was a Vice President with LaSalle Bank N.A. in
  the ESOP Financial Services Group where he was
  responsible for the design, structure and
  execution of leveraged ESOP transactions. Prior
  to LaSalle Bank, he spent four years at GE
  Healthcare Financial Services where he was
  responsible for the underwriting, documentation
  and monitoring of middle-market healthcare
  transactions. Prior to his employment with GE,
  Mr. Nels spent four years as a Portfolio Analyst
  with Heller Financial, Inc. and a Junior
  Trader/Operations Analyst with Deere Park Capital
  LLC.Mr. Nels holds a B.S. in Finance and
  Marketing from Eastern Illinois University and an
  MBA in Finance from DePaul University.

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Appendix A - Biographies

• Ross Van Drunen, Senior Investment Analyst
•  
• Mr. Van Drunen is responsible for sourcing,
  underwriting and monitoring Pangaeas senior debt
  transactions.
•  
• Mr. Van Drunen has seven years of direct
  experience managing credits within CLO vehicles.
  He was most recently an Investment Officer and
  Team Leader with Capital Source, Inc. and was
  with Denali Capital LLC in a similar role for
  over 5 years. Mr. Van Drunens primary
  responsibilities have included analyzing,
  underwriting and approving investment
  opportunities and portfolio oversight. Mr. Van
  Drunen also spent four years as a Tax Specialist
  with Heller Financial, Inc. and Ernst Young,
  LLP.
•  
• Mr. Van Drunen holds a B.S. in Accounting from
  Trinity Christian College and an MBA from DePaul
  University.
•  
• Matt Tuchband, Investment Analyst
• Mr. Tuchband is responsible for supporting the
  underwriting and monitoring of Pangaeas senior
  debt transactions.Prior to joining Pangaea, Mr.
  Tuchband was an investment Analyst and member of
  the bank loan team at GE Asset Management.
  Previously, he held various financial planning
  and analysis roles with The Quaker Oats Company
  and Follett Corporation, a privately held company
  in the education market.Mr. Tuchband has his
  B.S. in Finance and Accounting from Indiana
  University. He holds a Masters degree with
  concentrations in Finance, Strategy, and
  Entrepreneurship from Northwestern Universitys
  Kellogg School of Management.

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Appendix A - Biographies

• Jeff Cupples, Associate
• Mr. Cupples is responsible for supporting the
  underwriting and monitoring of Pangaeas senior
  debt transactions.Prior to joining Pangaea, Mr.
  Cupples was a Corporate Banking Loan Officer with
  LaSalle Bank where he was responsible for
  monitoring 16 client relationships and a
  portfolio of 100-million in loans. Mr. Cupples
  began his career as a Credit Analyst with
  LaSalles Commercial Lending Trading Program
  where he gained well-rounded lending experience
  via four concentrated rotations through Non-Bank
  Financial Institutions, Cash Flow Lending to
  Educational Institutions, National Institutions
  Real Estate and ESOP Financial Services.Mr.
  Cupples graduated with honors from Michigan State
  University with a B.A. in Finance.
• Nathan Harrell, Associate
• Mr. Harrell is responsible for supporting the
  underwriting and monitoring of Pangaeas senior
  debt transactions.
• Prior to joining Pangaea, Mr. Harrell was an
  Investment Analyst at CapitalSource Finance where
  he was responsible for underwriting and
  monitoring over 50 senior debt transactions
  across three CLO platforms within the companys
  asset management subsidiary. Previously, Mr.
  Harrell was an Underwriter with Chase Bank where
  he was responsible for monitoring over 20 client
  relationships and analyzing prospective clients
  creditworthiness for various commercial loans and
  other financing. Mr. Harrell began his career as
  a Credit Analyst with Chases Commercial Banking
  Training Program.
• Mr. Harrell graduated from the University of
  Chicago with a B.A. in Law, Letters, and Society.
  

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Appendix A - Biographies

• James Jago, Associate
• Mr. Jago is responsible for supporting the
  underwriting and monitoring of Pangaeas senior
  debt investments.Prior to joining Pangaea, Mr.
  Jago was a Portfolio Analyst at Merrill Lynch
  Capital where he was responsible for monitoring
  60 loan transactions aggregating over 500
  million. Before working at Merrill Lynch Capital,
  Mr. Jago was a Consultant at Protiviti, providing
  risk consulting and internal audit services with
  a focus on financial institutions.Mr. Jago
  graduated Cum Laude from the A.B. Freeman School
  of Business at Tulane University with a B.S.M. in
  Finance.
• Thomas J. Bax, Chief Financial Officer
• Mr. Bax is responsible for all Pangaea corporate
  matters and directing the services of rating
  agencies and accounting firms in support of our
  CLO product.Prior to joining Pangaea, Mr. Bax
  spent four years as Vice PresidentTreasury
  Operations at Career Education Corporation, a
  publicly traded firm offering education services
  across the world in a variety of career-oriented
  disciplines. Prior to joining Career Education,
  Mr. Bax spent 14 years at Heller Financial, Inc.
  in a variety of positions. At Heller, Mr. Bax was
  involved with several securitizations of
  Commercial Mortgage Backed Securities, a balance
  sheet Collateralized Loan Obligation transaction
  and timeshare securitizations. Mr. Bax also had
  experience with cash flow lending and internal
  audit while at Heller. Mr. Bax began his career
  at Deloitte and Touche where he worked for eight
  years attaining the position of Audit
  Manager.Mr. Bax graduated from Bradley
  University with a B.S. in Accounting. Mr. Bax is
  a C.P.A.

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Appendix A - Biographies

• Sean Treanor, Director of Operations
• Mr. Treanor is responsible for Pangaeas
  operations function.Most recently Mr. Treanor
  was a Vice President of Derivative Operations
  with Goldman Sachs. At Goldman he led the
  implementation of automated process solutions for
  the trade capture system in support of credit
  derivates. He implemented straight through trade
  processing for loan credit derivatives and
  managed a global team to automate the linkage
  between trade booking and trade documentation
  systems. Prior to joining Goldman, Mr. Treanor
  was a Vice President of Securitization Operations
  with GE. In this capacity he was responsible for
  the securitization settlement derivative
  operations and investor-reporting platform for GE
  Commercial Finances Capital Markets Group. Mr.
  Treanor started his career with Heller Financial,
  Inc. analyzing investments in asset-backed
  securities.Mr. Treanor is a CFA charter holder
  and received his B.A. in Finance and Economics,
  Cum Laude, from the University of Illinois and
  his M.B.A. from New York Universitys Stern
  School of Business.
• John Thies, Operations Analyst
• Mr. Thies is responsible for supporting
  Pangaeas operations functions.Previously Mr.
  Thies was a Financial Analyst at GE Asset
  Management. He was responsible for obtaining the
  required ratings from Standard Poor's and
  Moody's Investors Service related to private loan
  collateral held by managed CLO transactions. He
  also provided analytic support for the Investor
  reporting function for managed CLO transactions.
  Prior to that he worked as a Financial Analyst at
  Antares Capital Corporation and as a Senior
  Financial Reporting Supervisor with Aon Warranty
  Insurance Group. He started his career with
  Arthur Andersen as an auditor. Mr. Thies has
  his B.S. in Accountancy from Illinois State
  University.

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Appendix A - Biographies

• Seth Friedman, Operations Analyst
• Mr. Friedman supports Pangaeas operations
  function.
• Previously Mr. Friedman was a Securitization
  Compliance Analyst at Capital Source Finance.
  Prior to that he was a Senior Associate Account
  Manager in the Global Securities Trust Services
  Unit at LaSalle Bank. Mr. Friedman has his B.S.
  in Business from Indiana University, Kelley
  School of Business.

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Appendix B - Pangaea Management Team Experience
Members of the Pangaea team, prior to joining
Pangaea, have managed portfolios across 7
different CLO vehicles and three separate
accounts from 1999 to the present. The team also
had significant management responsibility for the
Antares Capital Corporations on balance sheet
portfolio.

• In 2005, General Electric Capital Corporation
  (GECC), an affiliate of GE, acquired Antares
  Capital Corporation (ACC) and Antares Asset
  Management, Inc. (AAM). Prior to the
  acquisition, ACC and AAM closed the following CDO
  transactions Antares Funding L.P., Nova CDO
  2001, Ltd., Mariner CDO 2002, Navigator CDO 2003,
  Navigator CDO 2004, Navigator CDO 2005.
• Separate accounts managed included a stressed
  debt fund and two loan funds.
• Navigator CDO 2006 is a transaction managed by GE
  Asset Management. Dave Schmuck was a Managing
  Director and portfolio manager and member of the
  bank loan team at GE Asset Management before
  joining Pangaea (1).

(1) Pangaea is not affiliated with GE Asset
Management and has no current management
responsibility with respect to the CLO vehicles
listed above.
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Appendix C - Summary of Assets Under Management
PANGAEA CLO 2007-1
MERRILL LYNCH CLO 2007-1
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Appendix C - Summary of Assets Under Management
SARGAS CLO I
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