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RIGEL ASSOCIATES ANNOUNCES ACQUISITION OF FLEXSTAR

SAN MATEO, CA - September 26, 2006 - Rigel Associates announced it completed the acquisition of Flexstar Technology, Inc. ("Flexstar"). Rigel completed the transaction in partnership with Audax Group and management. Based in Fremont, California, Flexstar is a global provider of data storage testing solutions in an industry that demands innovation and customer support. Products range from turnkey systems to specialized components and use proprietary testing software. Flexstar's customers include many of the leading data storage manufacturers and PC OEMs worldwide. Anthony La Via has joined the company as Chief Executive Officer and Mark Roberts has joined as Chief Financial Officer. They will work with the existing management team to further the company's growth.

Anthony La Via, the new CEO of Flexstar, commented, "I am excited to join Flexstar as Chief Executive Officer. I look forward to working with existing management and our investors to build upon Flexstar's reputation as a leader in providing comprehensive testing solutions for the data storage industry."

Michael Mitgang, a Rigel co-founder, said, "We are excited to partner with Audax, a nationally recognized private equity firm, and management to build Flexstar." Harold Robinson, Rigel's other co-founder, added, "We believe our combined expertise and resources will enable Flexstar to better serve customers in the dynamic and rapidly growing data storage industry."

Howard Rice advised Rigel Associates. Comerica provided senior debt financing. Audax Group, founded in 1999, is a leading investor in middle market companies. With offices in Boston and New York, Audax manages in excess of $2.3 billion in equity and mezzanine debt capital.

For more information contact a Rigel team member or visit the Rigel website at www.rigelassociates.com.