Kansas City Southern Industries, Inc. (KCSI) is a publicly held company
with its headquarters in Kansas City, Missouri with two lines of
business: financial services and transportation. In Financial Services,
KCSI owns the Janus group of mutual funds as well as the Berger Funds
and Nelson Asset Management in the UK. KCSI also owns a significant
interest in publicly traded DST Systems (DST). KCSI's transportation
business operates the NAFTA Railway, one of the leading railroad
systems in the US and Mexico. In 2000 KCSI spun off its Financial
Services division into a separate company called Stilwell Financial,
Inc., Warburg Pincus became an investor in KCSI in mid-1988 through
purchases of stock in the open market and from an affiliate of the
company. WP invested $39 million to purchase a 10% interest in the in
KCSI. During the period of its investment WP provided strategic advice
to KCSI management that resulted in the eventual separation of the
company's businesses described above. WP distributed its investment to
its limited partners in March 1994 at a value of $210 million.
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