Romano's Macaroni Grill

Sale-leaseback of 39 properties in 13 states

8214 Westchester Drive
Ninth Floor
Dallas, Texas 75225
Phone: 214.696.3600
Fax: 214.696.9845

We work with our clients to help their businesses soar. Cardinal Capital has the flexibility and analytical skills to partner with companies from a wide range of industries. The following is a partial list of the clients that have turned to us for help in reaching their financial goals.

• Academy Sports & Outdoors
Alabama Gas Company
• Bank of America
• Barnes&Noble
Beckman Coulter
• Black&Decker
• Blockbuster
Boscov's Department Stores
Bruno's/BI-LO Stores
• Cingular Wireless (now AT&T)
• Circuit City Stores
• CompUSA
• Corporate Express
Dick's Sporting Goods
• Eckerd Corporation
• Firestone Tires
Fleming Companies, Inc.
• General Cinema Corporation
Georgia-Pacific Corporation
Hardee's Franchisee
• Huntington Bancshares
• Indiana Energy
• International Filing Company
• Long John Silver's
Macaroni Grill
Marsh Supermarkets
• McDonald's
• Neways
• Pier 1 Imports
• Randalls
Reuters Group PLC
Rite Aid Corp.
• Royal Ahold N.V.
• Sears, Roebuck & Co.
• Shaw's Supermarkets
Sovereign Bank
• Spiegel & Newport News
• Taco Bueno
• The Home Depot
TW Metals
• Unisource Worldwide
• Wal-Mart
• Washington Mutual
• Winn-Dixie

Sovereign Bank

Sovereign Bank underwent an acquisition of deposits, loans and other businesses from Fleet/BankBoston. The divestiture of the branches of Fleet/BankBoston was mandated by the U.S. Department of Justice (the "DOJ") in connection with a Fleet/BankBoston merger. While the assets and liabilities Sovereign Bank acquired were selected by the DOJ to help ensure a competitive banking environment in New England, Sovereign's acquisition of these businesses was an important step in accelerating and substantially completing its transformation from a traditional mortgage lender to a commercial bank.

Cardinal Solution:
Cardinal Capital Partners invested in a $330 million portfolio totaling 127 bank branches and office buildings consisting of 104 properties from Fleet Boston Corporation ("Fleet/Bank Boston") and a number of affiliated banking institutions and 23 properties from Sovereign Bank. All of these were simultaneously leased to Sovereign Bank.

The heavily regulated environment in which banks operate imposed a stringent timeline on the transaction, which was strictly adhered to.

By far, the portfolio contained the largest number of properties in a single transaction of this type. This presented significant real estate due-diligence challenges, which our team of professionals quickly embraced.

The 144A public-style bond offering presented many new structural elements and issues that had to be rendered acceptable to the rating agencies and bond investors in the midst of a very volatile capital markets environment.

As a result of the massive deployment of resources by both Sovereign Bank and Cardinal Capital Partners, the transaction was successfully completed within the allotted 60-day time frame.