R.E. Lee Group Partners Re-Emerge As Capitas Financial, LLC; 70% of Lee Group Members Form Elite Strategic Financial Services Consortium.

Business Editors

BOSTON--(BUSINESS WIRE)--Nov. 30, 2001

Twenty-one of the founding partners in the R.E. Lee Group have joined forces to create the industry's premier life wholesale brokerage organization -- Capitas Financial, LLC. The alliance will carry on the group's reputation as the nation's largest and most respected life brokerage organization. Capitas will deliver the most diversified and comprehensive array of products, services and partnerships, combined with the strength of a nationwide common marketing platform.

Capitas arms each member firm with a superior portfolio of products, a "state of the art" case management system and an aggressive national account marketing effort. Focused on creating and maintaining strategic partnerships with wire-houses, financial planners, attorneys and financial service institutions including banks, broker/dealers and CPA firms, Capitas offers a product line with the objectivity and independence only attainable through an extremely diverse yet selective portfolio.

"Our vision is to establish a strong strategic partnership in the financial services industry," said Charles T. Smith, president of Capitas and The Smith Company, Ltd. a Boston-based financial services firm. "Our mission is to provide a virtual insurance department that will enhance client relationships and strengthen revenue for our alliances," continued Mr. Smith.

Capitas delivers continuity throughout its membership by including experienced local "point of sale" support enabling all brokerage partners the flexibility to select the services they need to create the most effective and suitable solutions for their clients.

The Capitas portfolio includes competitive whole life, universal life, variable universal life, term life, long term care, disability products, annuities, lifetime settlements and "niche" products to support cutting edge planning concepts. Core programs offered by Capitas include:

-- True one-stop local brokerage services

-- A wide-range of financial services products

-- Value-added sales and marketing support

-- National technical and legal support

-- Large case underwriting expertise

-- Specialized proprietary software for use in estate, business and tax
planning

-- Point of sales support to all local, regional