Cadence Innovation May Exit French Market

TROY, Mich., June 2 -- Cadence Innovation LLC ("Cadence" or "the Company") announced today that it has been exploring strategic alternatives with regard to its indirect French subsidiary, in order to focus on its existing U.S. and Eastern European operations, as well as other markets currently contemplated. Cadence gained ownership of the French subsidiary in May 2005 when it acquired that subsidiary's parent corporation in the Czech Republic. The Company has been evaluating the French operations -- which have been operating subject to a court approved Plan of Continuation since a French bankruptcy filing in 2003 -- for the past year.

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"In order to compete effectively, the French subsidiary would require an infusion of capital that, today, we are not necessarily prepared to make," said Cadence Innovation President and Chief Executive Officer, Jerry L. Mosingo.

"We constantly assess all operations to ensure we have the optimal mix of the best products, and best processes all in the right places. We are committed to being an effective, efficient, and focused organization. The Cadence value proposition is resonating with key OEM customers. We have been awarded in excess of $100 million in new business in the U.S. and Czech Republic since the new company was formed last year," said Mosingo.

Cadence's French subsidiary is an independent business entity and has limited relationships with the ultimate U.S. parent other than the ownership interest. The French manufacturing operations include four plants located in Noeux-Les-Mines, Pouance, Burnhaupt-Le-Haut, Vernon St. Marcel.

About Cadence Innovation

Cadence Innovation is a $1 billion automotive supplier offering design, engineering, manufacturing, and assembly/sequencing solutions for interior and exterior components, systems and modules in four areas -- instrument panels and cockpits, painted exteriors (including modules), doors/door modules and cargo management systems. The company has over 6,000 employees in 24 facilities in the United States, France and the Czech Republic and supplies its components and modules to automotive manufacturers around the world.

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