Sovereign Bank Announces Loans, Creates More Than 60 New Jobs Through Job Foundation Loan Program for Rhode Island

Sovereign Bank Announces Loans, Creates More Than 60 New Jobs Through Job Foundation Loan Program for Rhode Island

-$3.3 million in capital made available to three local businesses-

PROVIDENCE, R.I., Dec. 12 /PRNewswire/ -- Sovereign Bank today announced that it has approved $3.3 million in low-cost loans to three Rhode Island small businesses through the Sovereign Bank Rhode Island Job Foundation Loan Program that was established earlier this year. The financing will create jobs in the entertainment, multimedia, high-tech and the food industries. The three loan recipients are Gamer Graffix, Tango Pix and Helen Bakery.

Rhode Island Market President Steve Issa made the announcement at Gamer Graffix in Cranston, Rhode Island. The company manufactures and distributes "skins" that cover gaming consoles and other multimedia. Gamer Graffix also announced a three-year endorsement deal with rapper 50 Cent who is a new investor in the company.

"The Rhode Island economy has been given a good boost today by the loans we made to these three small businesses. Sovereign Bank sees the wave of the future in what is happening here at Gamer Graffix as they tap into a hot commodity in pop culture while forging ahead with their business growth plan. We hope that they can serve as an example to other entrepreneurs who want to stay local but think global," said Issa.

Gamer Graffix CEO Chris White announced that with the help of Sovereign Bank, the company will buy the equipment necessary to manufacture its products in Rhode Island, moving the manufacturing from China. The loan also allows Gamer Graffix to add 60-80 jobs next year. In addition, White announced a partnership with rapper 50 Cent to make skins for his new video games and other products.

"Gamer Graffix has successfully created a must-have accessory for the gamers of the world. Now, with the help of Sovereign Bank, we can make the investment in our company to bring manufacturing and other jobs to Rhode Island. This financing will get our skins in the right hands of gamers from Cranston to Tokyo. The partnership with 50 Cent also puts us over the top as he believes in both Gamer Graffix and our products," said White.

"I am proud to be a partner with Gamer Graffix. The growth that the company has experienced in a relatively short amount of time is amazing. To be a part of bringing so many new jobs to Rhode Island is an amazing feeling. Wish I could be there to celebrate," said 50 Cent.

Sovereign Bank is providing the three businesses with loans ranging from $75,000 to $2.5 million, with flexible terms and favorable rates. Sovereign's guidelines for borrowing from the fund are that the businesses are expected to create three jobs for the first $250,000 borrowed, and one additional job for each subsequent $50,000 borrowed.

Issa said that it is companies like Gamer Graffix, Tango Pix and Helen Bakery that makes the local economy hum.

"Sovereign Bank's confidence in Tango Pix and Helen Bakery will only strengthen their businesses. With this dose of capital, we can continue as their partners as the companies expand, adds jobs and contributes to the betterment of the state," said Issa.

Tango Pix is a media development and production services company with the only High Definition capability in Rhode Island. Tango Pix works with the television and film industry and also offers its corporate clients new marketing alternatives that include interactive, targeted video campaigns and messaging on the Internet, podcasting and multi-channel content distribution. Sovereign's loan gives Tango Pix the ability to hire another 12 full-time employees.

"The media production industry is all about having the best technology and the most creative minds to work with that. Sovereign's financial support has enabled us to expand our facility, upgrade our High Def capabilities and hire additional employees who will help keep Tango Pix on the edge of the latest innovations," said Curtis Worden, President and CEO, Tango Pix.

Sovereign's loan to Helen Bakery helped keep a 40-year old institution in business. Helen Bakery was recently purchased by local businessman Tharwat Eltahan, whose mission is to maintain the high-quality line of bakery products such as its pita bread and biscuits. Eltahan said Helen Bakery is one of very few that still makes its pita bread by hand, a tradition that he will continue. Helen Bakery also operates a retail store that sells Mediterranean groceries. He plans on hiring up to 15 new employees.

"Our customers come from near and far to buy our high-quality products. Helen Bakery's pita bread and biscuits are second to none and Sovereign Bank's will help me keep it that way," said Eltahan.

Since Sovereign Bank launched the Job Foundation Loan Program in June, it has approved and closed $6 million in loans with another $2 million in the pipeline. This translates into more than 100 new jobs added to the Rhode Island economy by small businesses.

The loan program focuses on small businesses, the backbone of the economy. The program offers tailored, flexible repayment terms and amortization options, including extended terms for real estate and interest-only payment options for one year. There are no pre-payment penalties. More information regarding the loan program is available at: http://www.sovereignbank.com/business/credit/SBGrowthLending_RI.asp.

Sovereign also provides businesses with additional savings and benefits including free business checking, discounted payroll services for companies with 10 or fewer employees, special package savings on credit and debit card processing services, and additional online banking and case management services.

About Sovereign Bank

Sovereign Bancorp, Inc., ("Sovereign") (NYSE:SOV), is the parent company of Sovereign Bank, a $63 billion financial institution with more than 650 community banking offices, over 1,000 ATMs and approximately 10,000 team members with principal markets in the Northeast United States. Sovereign offers a broad array of financial services and products including retail banking, business and corporate banking, cash management, capital markets, trust and wealth management and insurance. Sovereign is the 18th largest banking institution in the United States. For more information on Sovereign Bank, visit http://www.sovereignbank.com/ or call 1-877-SOV-BANK.

About Gamer Graffix

Gamer Graffix is the most prominent Skin company in the industry: distributing console and Multimedia Skins to major retailers worldwide. Gamer Graffix creates high-quality epoxy coated Skins for many multimedia and gaming consoles that are available in a large variety of unique and licensed designs. All Gamer Graffix Skins are removable and washable - "anything else is just a sticker." Gamer Graffix Skin licenses include: 50-Cent/G Unit, Playboy, Marvel (Spiderman, Hulk, Punisher, X-Men, Ghost Rider,) Nintendo (Mario Kart, Zelda, Nintendogs,) and Sega (Sonic Rush.) Rapper 50 Cent has entered into a partnership with Gamer Graffix and has infiltrated everything including its website, http://www.gamergraffix.com/. Don't get caught naked, Get Skinned (TM)

About Tango Pix

Tango Pix, based in Providence, Rhode Island, works with individuals and companies that engage in media-based communications, entertainment and product development, including Hasbro, Blue Cross & Blue Shield, Lifetime Television and the flagship PBS program, "American Experience." The Tango Pix creative team is a collective of highly experienced, media professionals who have produced for Nightline, Discovery Health and Travel Channel, among others, and provide media development and services for broadcast television networks, cable, corporations, non-profit organizations and academic institutions.

About Helen Bakery

Helen Bakery, of North Providence, Rhode Island, has been serving the Greater Providence area for more than 40 years with freshly baked pita bread and the finest in Mediterranean groceries. Helen Bakery was recently purchased by Tharwat Eltahan who is retaining the tradition of making the pita bread by hand.

Source: Sovereign Bank

CONTACT: Ellen Molle, Sovereign Bank, +1-617-757-5573,
emolle@sovereignbank.com

Web site: http://www.sovereignbank.com/
http://www.gamergraffix.com/

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