CHARLESBANK CAPITAL PARTNERS COMPLETES $120 MILLION ACQUISITION OF NATURAL GAS PIPELINE ASSETS FROM EL PASO

BOSTON, MA, June 13, 2003 - Charlesbank Capital Partners, LLC is pleased to announce the formation of Regency Gas Services, and the acquisition by Regency of approximately 2,300 miles of natural gas gathering and processing as well as pipeline assets from El Paso Corporation, of Houston, Texas. Charlesbank Equity Fund V, Limited Partnership, provided equity for the transaction and Wells Fargo led a group of banks providing senior debt for the transaction.

Regency is led by a seasoned team of industry executives. Mr. David Biegler, Chairman of Regency Gas Services, previously served as Vice Chairman of TXU and Chairman of ENSERCH. Jim Bryant, Regency's President, is the former CEO of Endevco, a pipeline company that at one time owned the Louisiana assets now owned by Regency. Regency's management team is rounded out by Mack Lawrence, Executive Vice President, Marketing, formerly of ENSERCH and various other natural gas midstream companies, and Doug Dormer, Executive Vice President, Finance, formerly of Energy Transfer Company and various other natural gas midstream companies. Mike Hunter serves as a Regency director and was formerly President of Lone Star Pipeline.

Regency Gas Services is a Dallas-based natural gas midstream company providing natural gas gathering and processing services. Regency has acquired assets located in Louisiana, Kansas, Oklahoma, Texas and Colorado that comprise approximately 2,300 miles of gathering lines and pipelines and four natural gas processing plants with an aggregate capacity of 205 MMcfd. These assets are supplied from approximately 1,900 active wells with an aggregate throughput of approximately 300 MMcfd.

"Our commitment to Regency Gas Services represents the culmination of an initiative we launched more than a year ago to identify talented operating executives with whom to invest in the large-scale repositioning of assets in the energy sector," said Michael Eisenson, Managing Director of Charlesbank Capital Partners. "We are excited to have the opportunity to back a proven management team to operate and add to this solid portfolio of high quality, well-positioned assets."

Charlesbank Capital Partners, LLC, is a private investment firm with more than $2 billion of capital under management. Charlesbank Equity Fund V is a $590 million private equity fund focused on middle-market management-led buyouts and growth capital financings, typically investing $20 to $75 million per transaction in companies with enterprise values of $50 to $500 million. Charlesbank seeks to partner with strong management teams and other value-added investors to build companies with real competitive advantage and excellent prospects for growth. The firm has offices in Boston and New York. For more information on Charlesbank, visit www.charlesbank.com.