Riverstone Closes the Acquisition of Dresser, Inc.; John P. Ryan to Assume CEO Role

Dallas - Dresser, Inc. announced that a consortium led by Riverstone Holdings LLC has completed the previously announced acquisition of the company, which is a leader in providing highly engineered infrastructure products to the global energy industry.

The company also announced that John P. Ryan, president and chief operating officer, is replacing Patrick M. Murray as chief executive officer. Mr. Murray retired from his position effective with the completion of the sale.

"The change in ownership of Dresser will be transparent to our customers and employees—it’s business as usual," said Mr. Ryan. "The Dresser name has been synonymous with the energy industry for more than a hundred years, and our global presence, strong brands and long-time reputation for reliability and service in the energy industry will continue to serve us well in the future. Our new owners have considerable experience and insights into the energy industry worldwide, and we look forward to benefiting from the expertise they bring."

Riverstone is joined by First Reserve and Lehman Brothers Co-Investment Partners in the investor group. First Reserve previously acquired Dresser in 2001 in partnership with Odyssey Investment Partners and is investing in the current transaction through its recently formed First Reserve Fund XI, L.P. Riverstone is investing through its Carlyle/Riverstone Global Energy and Power Fund III, L.P. The terms of the transaction were not disclosed.

Commenting on his retirement, Mr. Murray noted, "Dresser is well positioned to continue as a worldwide leader in the design, manufacture and marketing of energy infrastructure equipment. John’s promotion is decidedly well-deserved. His commitment to continuous improvement, dedication to Dresser employees and focus on the customer will serve the company well in the years to come."

Mr. Ryan was appointed president and chief operating officer of Dresser in December 2004. He had previously served as president of Dresser Wayne, the largest division of Dresser and a worldwide leader in the retail fueling industry, from 1999 to 2005. Prior to joining Dresser Wayne in 1987 as national accounts sales manager, he served in various international and domestic sales positions for Goulds Pumps Inc.

About Dresser
Dresser is a leader in providing highly engineered infrastructure products for the global energy industry. The company enjoys leading positions in a broad portfolio of products including valves, actuators, meters, switches, regulators, piping products, natural gas-fueled engines, retail fuel dispensers and associated retail point of sale systems, and air and gas handling equipment. Leading brand names within the Dresser portfolio include Dresser Wayne® retail fueling systems, Waukesha® natural gas-fired engines, Masoneilan® control valves, Mooney® regulators, Consolidated® pressure relief valves, and Roots® blowers and rotary gas meters. With manufacturing and customer service facilities located strategically in 20 countries and a sales presence in over 100 countries, Dresser is able to meet customer needs throughout the world. For more information on Dresser, visit www.dresser.com.

About First Reserve
First Reserve is the oldest and largest private equity firm specializing in the energy industry. First Reserve was the first private equity investment firm to actively pursue building a broadly diversified global investment portfolio of companies involved in the various sectors of the energy industry. First Reserve has raised over $12.7 billion for its buyout-focused funds. Throughout its 25-year history, the strong franchise that the firm has developed by investing exclusively in companies involved in the energy industry has served as a competitive advantage for First Reserve. For more information on First Reserve, visit www.firstreserve.com.

About Lehman Brothers
Lehman Brothers Co-Investment Partners is a $1.6 billion fund which invests alongside premier private equity funds globally. Founded in 1850, Lehman Brothers is a leading investment bank with activities in equity and fixed income sales, trading and research, investment banking, private investment management, asset management, and private equity. The firm is headquartered in New York, with regional headquarters in London and Tokyo, and operates in a network of offices around the world. For more information on Lehman Brothers, visit www.lehman.com.

Company Contact:
Jenny Haynes
Vice President of Communications
(972) 361-9933

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