Houston, Texas | September 15, 2004

Freestone Partners announced the formation of Freestone Partners II, LP, the firm’s second private equity investment partnership. A first closing on limited partner commitments is anticipated in the fourth quarter of 2004, with a final closing anticipated to take place in the first quarter of 2005. Freestone II will have an investment strategy similar to that of Freestone Partners I, LP, though the geographic focus of Freestone II will broaden to include the Southeast. Freestone’s newly-opened office in Atlanta, managed by Roy Jones, Managing Director of Freestone, will oversee Freestone’s activities in the Southeast.