Collins & Aikman Focuses on Dual-Track Route to Emergence

Company exploring options for stand-alone entity versus sale or merger of assets

TROY, Mich., Jan. 18 -- Frank Macher, President and Chief Executive Officer of Collins & Aikman Corporation (CKCRQ) confirmed that the Company remains on its previously stated dual-track route to emergence from bankruptcy protection that includes the distinct possibility of remaining a stand-alone entity. Additionally, through its advisors, the Company has also begun the process of marketing portions or all of the Company's assets to determine their market value for a potential sale, merger or equity infusion from investors.

"We are in the midst of developing a comprehensive business plan that includes detailed, three-year projections to determine our base value," said Macher. "From there, we will evaluate the benefits of structuring the Company as a stand-alone entity or explore the possible sale or merger of our assets to a third party. Ultimately, we will choose the path that creates the most value for our stakeholders."

The Company noted that they remain in the preliminary stages of developing a Plan of Reorganization.

Collins & Aikman Corporation is a leader in cockpit modules and automotive floor and acoustic systems and is a leading supplier of instrument panels, automotive fabric, plastic-based trim, and convertible top systems. The Company is headquartered in Troy, Michigan. Additional information about Collins & Aikman is available on the Internet at http://www.collinsaikman.com/.