The Courtney Group, in conjunction with senior management, Madison Investment Partners and Emigrant Capital, announced the completion of a buyout of Califone International, Inc. today. The transaction was made at an undisclosed price. Califone is a leading manufacturer of electronic audio products for the educational market in the United States and abroad.

"The transaction will further strengthen our company and market position," said Terry Soley, President and CEO. "All Califone managers and employees are extremely pleased with the transaction, and are committed to continuing to be an industry leader in the development of innovative products and the delivery of unsurpassed service and quality."

Califone has reinvented itself over the last three years under the leadership of Terry Soley. The company has introduced fourteen major new products, including multi-media headphones, cordless headphones, CD/cassette units, and our CVSS computer control system. Management and the new equity investors remain committed to introducing three to five new wireless and digital products each year.

"The strength of the management team was the prime consideration for the investment group," said Madison Investment Partners' Martha Cassidy. "Califone will continue to provide excellent products and service to the educational market."

Thomas W. Courtney, Jr., President of The Courtney Group and Managing Director of Emigrant Capital, said, "We are excited by the tremendous opportunities that are available to the company, as we expect significant increases in public and private sector spending on education and educational technology." Mr. Courtney added, "We have been tremendously impressed with the educational community's high regard for the Califone name, and the reputation of the company's management team in the industry"

About Califone

Califone has produced high quality audio equipment since 1946. The company specializes in designing and manufacturing audio equipment to meet the specific needs of the educational market, and enjoys the leading market share in many of its products. Additional information about the company and its products is available on *www.califone.com.

About Madison Investment

Partners Madison Investment Partners Inc., headquartered in New York, provides private equity financing for management buyouts, recapitalizations and growth. The company was founded in 1993.

About The Courtney Group

The Courtney Group is an investment banking firm which specializes in advising clients on mergers & acquisitions as well as raising capital for buyouts, acquisitions, recapitalizations and growth. For further information on the firm please visit www.thecourtneygroup.com.

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*The Courtney Group does not endorse this site, its sponsors, or any of the policies, activities, products, or services offered on the site or by any advertiser on the site.