Forstmann Little Sells Remaining Stake in General Semiconductor

Business Wire, April 27, 1999

NEW YORK--(BUSINESS WIRE)--April 27, 1999--

Forstmann Little & Co. today announced that it has sold all of its remaining 5.4 million share stake in General Semiconductor, Inc. (NYSE: SEM) for a total of $35 million in a block trade to Donaldson, Lufkin & Jenrette.

Forstmann Little invested approximately $180 million of equity in acquiring General Semiconductor's former parent company, General Instrument Corporation, for $1.5 billion in August 1990. General Semiconductor was spun off from General Instrument in 1997. Including today's transaction, Forstmann Little has realized approximately $1.7 billion, over nine times its original investment.

"This has been an extremely successful long-term investment for our firm," said Steven B. Klinsky, a general partner of Forstmann Little. "General Semiconductor has a strong growth platform in place, and we believe the company is well positioned for the future."

General Semiconductor, Inc. is a market leader in the discrete segment of the semiconductor industry with manufacturing facilities in China, France, Germany, Ireland, Taiwan and the United States.

Founded in 1978, Forstmann Little is a private investment firm that has invested over $13 billion in 23 acquisitions, including Gulfstream Aerospace, General Instrument, Ziff-Davis Publishing, Yankee Candle Company and Community Health Systems. The firm currently has approximately $4 billion in committed capital for future investments.