Press Releases

Monroe Capital Provides $21.5 Million to SMTC Corporation

Chicago, IL, September 10, 2007

Monroe Capital LLC announced the funding of a $21.5 million term loan to SMTC Corporation (NASDAQ: SMTX; TSE: SMX). Monroe Capital acted as Sole Arranger and Agent of a term loan credit facility in conjunction with a $40 million senior credit facility from Wachovia Capital Finance. The credit facility is to be used to assist SMTC in refinancing its existing debt and for ongoing working capital purposes.

SMTC Corporation, founded in 1985, is a provider of end-to-end electronics manufacturing services (EMS) including PCBA production, systems integration and comprehensive testing services, enclosure fabrication, as well as product design, sustaining engineering and supply chain management services. SMTC facilities span a broad footprint in the United States, Canada and Mexico in addition to a manufacturing partnership in China.

Theodore L. Koenig, President and Chief Executive Officer of Monroe Capital, said, “We very much appreciate the ability to assist a quality company with quality management like SMTC in their continued growth. We look forward to being a strong financing partner with this company for years to come.”

John Caldwell, President and Chief Executive Officer of SMTC, said, “We are delighted to enter into a long term relationship with Monroe Capital to provide our funding requirements as we continue to grow our business. Monroe Capital was constructive, highly responsive and flexible in addressing our needs and timelines. We look forward to working with Monroe going forward.”

Monroe Capital is a specialty finance company providing senior secured and junior secured debt to middle-market companies. Monroe Capital specializes in originating, structuring and providing customized one-stop financings to U.S. and Canadian borrowers. Monroe is committed to being a value-added and user-friendly partner to owners, senior management and transaction sponsors. Investment types include senior and junior secured debt as well as bridge loans, flexible acquisition facilities, mezzanine or last-out second loans that stretch a company’s debt capacity, acquisitions of distressed debt, and equity co-investments. Monroe Capital prides itself on its flexible investment approach and its ability to close and fund transactions quickly. To learn more about Monroe Capital, visit www.monroecap.com.