Boston, MA – March 3, 2008 – Seacoast Capital (“Seacoast”) announced today that it has successfully exited its investment in City Sports, Inc. (“City Sports” or the “Company”), a Wilmington, Massachusetts-based retailer of athletic apparel, accessories and equipment, in concert with the Company’s sale to Highland Consumer Fund.

“City Sports represented one of Seacoast’s first investments, and we have seen the Company grow from a few stores in Boston to a multi-unit retailer with locations spanning the East Coast. City Sports’ management has done a tremendous job building the Company’s brand name, and made it a successful investment for all who were involved”, Seacoast Managing Director Eben Moulton commented.

Seacoast is a private equity fund with $200MM under management, with offices in Boston, MA and San Francisco, CA. Seacoast originally invested a combination of subordinated debt and preferred stock in City Sports through its first SBIC fund, Seacoast Capital Partners Limited Partnership.