Pinnacle Holdings Inc. ("Pinnacle")

Pinnacle leases, and maintains, space on a portfolio of owned, managed and leased communications sites. These sites are primarily composed of towers and rooftops where wireless communication providers can locate their antennas and equipment. Since its formation in May 1995, Pinnacle has created a portfolio of wireless communications site clusters in high growth markets such as Atlanta, Birmingham, Boston, Chicago, Dallas, Houston, Los Angeles, New Orleans, New York, Orlando, and Tampa.

Pinnacle generates annual revenues of approximately $180-$190 million and annual adjusted EBITDA of approximately $80 million.

During the course of its rapid acquisition program, Pinnacle accumulated a significant level of debt. Prior to its restructuring, Pinnacle had net debt outstanding of approximately $892 million. Pinnacle's financial performance did not meet expectations. Prior to its restructuring, its Net Debt/EBITDA ratio was 11.1x. Coupled with additional unpredicted events that utilized capital, Pinnacle violated certain financial covenants to its senior credit agreement and eventually defaulted on an interest payment on its convertible notes.

Gordian Group was engaged in late 2001at a time when the franchise was at risk due to its inability to comply with the requirements of its senior credit agreement. Gordian Group was tasked with exploring, under strict time constraints, a variety of alternatives to assist in Pinnacle's restructuring. The alternatives included: (i) raising additional capital to effect a pay down of Pinnacle's credit facility, (ii) development of an internal restructuring or recapitalization, and/or (iii) exploring M&A alternatives with potential financial and strategic buyers.

Gordian Group, in connection with Pinnacle's management and counsel, was able to recapitalize and restructure Pinnacle successfully through a plan of reorganization under the protection of Chapter 11. The plan of reorganization was funded by (i) an aggregate equity investment of $205 million by the new investors and (ii) a significantly reduced amended and restated credit facility provided by the existing senior credit facility lenders. Pinnacle's senior discount noteholders received a recovery of approximately 35% through a combination of new common shares and cash, at the noteholders' election. Pinnacle's junior convertible subordinated noteholders received a de minimis recovery through cash and warrants for shares of reorganized Pinnacle and, despite the very modest recoveries of Pinnacle's subordinated creditors. Pinnacle's common stockholders received a recovery through warrants for shares of reorganized Pinnacle.