News Releases

Waterside investment pays off for contact center leader

NORFOLK, VA, June 20, 2007 -- Eight years after Waterside Capital Corporation invested capital in an up-and-coming telecommunications company in New Jersey, the region's only SBIC announced today that it has sold the remaining 1% warrant to AnswerNet and is successfully exiting the investment.

Waterside CEO Lin Earley said its relationship with AnswerNet has been successful and profitable, with both parties winning in the end.

Waterside invested $550,000 in AnswerNet in July 1999. In accordance with the agreement, Waterside’s investment was repaid in full amount, plus the sale of the 18% common equity warrant held by Waterside resulted in a very profitable investment.

AnswerNet’s shareholders have fared even better. AnswerNet used Waterside's funding to jump-start an acquisition strategy. Through smart management, profitable operations and careful acquisitions, AnswerNet grew into one of the premier 24/7 contact center businesses handling order entry, telephone answering services, sales, lead qualification and other customer management functions from multiple contact centers.

Leaders from both companies are available for comment at:
      Lin Earley, CEO, Waterside Capital Corporation
      (757) 672-2778 or david@rourkpr.com

      Gary Pudles, President, AnswerNet
      (609) 921-7450 or david@rourkpr.com

Waterside Capital Corporation (www.watersidecapital.com) is a Small Business Investment Company (SBIC), headquartered in Norfolk, Virginia with a portfolio of approximately $28.3 million of loans and investments in 19 companies located primarily in the Mid-Atlantic region. Waterside Capital’s individual investments range from $500,000 to over $3 million.

The AnswerNet Network (www.answernet.com) is a premier provider of 24/7 inbound, outbound and e-bound contact center and fulfillment solutions. The AnswerNet Network handles order entry, telephone answering services, sales, lead qualification and other customer management functions from 55 contact centers, serving over 35,000 clients, and processing more than 60 million contacts annually.

David Rourk contact
(757) 478-0150, david@rourkpr.com