05/23/2008
Cordova, Smart & Williams, LLC Invests in H2O Plus, LLC

New York, NY, May 23, 2007 - Cordova, Smart & Williams, LLC ("CSW") and the Goldman Sachs Urban Investment Group ("Goldman Sachs") today announced the acquisition of H2O Plus, LLC ("H2O Plus"), a leading developer, manufacturer, and marketer of prestige, branded, water-based natural skincare products for the face and body. H2O Plus is being acquired from its founder, Cindy Melk, who will remain involved in the business as Chief Creative Officer. CSW and Goldman Sachs will share joint ownership of H2O Plus; details of the acquisition were not disclosed. Through the acquisition, CSW and Goldman Sachs will seek to maximize H2O Plus' potential for growth both domestically and internationally.

Founded in 1989, H2O Plus is a pioneer of natural, water-based skin care. H2O Plus infuses each of its products with nourishing ingredients from the sea and state-of-the art technology to deliver optimal hydration, protection and rejuvenation for the skin. Currently, the company offers more than 160 products within its beauty collection of skincare, spa, and bath products in 18 countries throughout the world. The product line's growth has been impressive both domestically and internationally. Distribution points have increased by 300% in the U.S. and 200% internationally over the last 2 years demonstrating the success of H2O Plus as a truly global brand with significant further potential in Asia, Europe and Latin America. Today the company is one of the leading prestigious and luxury skincare brands in China.

"H2O Plus is delighted about the new alliance of CSW and Goldman Sachs, which brings a rich history of successful management and business insight to our company," said Bob Seidl, President and Chief Executive Officer of H2O Plus. "This new team will ensure continued growth of the brand on the global front in our competitive industry."

Michael Smart, Managing Partner at CSW said, "H2O Plus presented a unique opportunity to invest in a well positioned fast growing brand name company in the natural and organic personal care products sector. We believe that aligning our capital and resources with H2O Plus' talented management team will position the company for future growth on a global basis."

"Our attraction to this investment has been on the strength of the H2O Plus brand, combined with the growth in the market for natural products such as the sea-based formulations that are at the core of the company's products," remarked Kevin Jordan, Managing Director at Goldman Sachs. "We're focused on continuing to build this brand globally, and see enormous potential in front of us."

About H2O Plus, LLC:
H2O Plus, LLC is a leading developer, manufacturer, and marketer of prestige, branded, water-based skincare products for the face and body. The company markets an expansive portfolio of 500 proprietary, company-owned formulations based on the principle of establishing clean, natural alternatives to the pore-clogging products pervasive in the personal care products market. Through its unique ingredient concept, H2O combines "water plus" natural sea-derived nutrients and state-of-the-art technology to improve and maintain healthy and youthful-looking skin. For more information on H2O Plus, please visit www.h2oplus.com.

About Cordova, Smart & Williams, LLC:
Cordova, Smart & Williams, LLC, is a New York based private equity firm specializing in leveraged buyouts, recapitalizations, and growth capital financings for middle market companies in the general industrial and consumer products sectors. For more information on Cordova, Smart & Williams, LLC, please visit www.cswprivateequity.com.