Collins & Aikman Selects Leading Bidder for Purchase of Soft Trim Business Unit

SOUTHFIELD, Mich., Dec. 13, 2006 -- Collins & Aikman Corporation (CKCRQ) announced today that it has selected a lead bidder in its proposed sale of the Company's North American automotive flooring and acoustic components business. The selection was made following the Company's receipt of a number of competitive offers from a variety of qualified bidders. The Company has also entered an exclusivity agreement with the lead bidder while they complete due diligence and negotiate a definitive agreement in the coming weeks. The offer will be subject to overbid through a bankruptcy court monitored auction process. Details of the bid, including the identification of the lead bidder, will be made available when the Company files its sale motion with the bankruptcy court for an expected January 2007 hearing.

"We are extremely pleased with the level of interest shown in purchasing our businesses," said John Boken, Collins & Aikman's Chief Restructuring Officer. "The potential sale of the Soft Trim business unit as a going concern would generate important recoveries for our lenders, result in a valuable addition to our buyer's portfolio and, most importantly for our employees, preserve a large number of jobs."

The Soft-Trim business operates 14 facilities in the United States, Canada and Mexico, employs approximately 4,100 people and produces products for all major automakers.

Collins & Aikman continues to pursue efforts to sell the majority of its remaining businesses that produce injection molded interior components and convertible roof systems. The Company is in the process of working with its customers and lenders while soliciting and reviewing qualified bids for the purchase of all or portions of these businesses.

The Company is committed to providing updates on these matters to all interested parties when appropriate and as they become available.

Collins & Aikman Corporation is a leader in cockpit modules and automotive floor and acoustic systems and is a leading supplier of instrument panels, plastic-based trim, and convertible top systems. The Company is headquartered in Southfield, Michigan. Additional information about Collins & Aikman, the Plan of Reorganization, the Disclosure Statement, and any exhibits, when filed, will be available on the Internet at http://www.collinsaikman.com/ .

Cautionary Statement Concerning Forward-Looking Information

The foregoing statements regarding a potential definitive agreement and possible sale transaction constitute "forward-looking" statements, as that term is defined by the federal securities laws. You can find many of these statements by looking for words such as "may," "will," "expect," "anticipate," "believe," "estimate," "should," "continue," "predict," "preliminary," "potential" and similar words used herein. These forward-looking statements are intended to be subject to the safe harbor protection provided by the federal securities laws. These forward-looking statements are subject to numerous assumptions, risks and uncertainties. Because the statements are subject to risks and uncertainties, actual developments and results may differ materially from those expressed or implied by the forward-looking statements. Readers are cautioned not to place undue reliance on the statements, which speak only as of the date hereof. Additionally, the letter of intent identified in this press release is nonbinding and subject to numerous conditions such as completion of due diligence and negotiation of a definitive agreement.

Various factors that may affect actual outcomes and performance and results include, but are not limited to, our ability to negotiate a definitive agreement, on terms and conditions satisfactory to us and the creditors' committee, regarding the proposed sale transaction; our ability to obtain bankruptcy court approval of any such definitive agreement; general economic conditions in the markets in which the Company operates, declines in North American, South American and European automobile and light truck builds; labor costs and strikes at the Company's major customers and at the Company's facilities; fluctuations in the production of vehicles for which we are a supplier; changes in the popularity of particular car models, particular interior trim packages or the loss of programs on particular vehicle models; dependence on significant automotive customers; the level of competition in the automotive supply industry and pricing pressure from automotive customers; risks associated with conducting business in foreign countries; and increases in the price of certain raw materials, including resins and other petroleum- based products. In addition, the following may have a material impact on actual outcomes and performance and results: the results of the pending investigation; the change in leadership at the Company, the Company's ability to maintain access to its receivables facility and other financing arrangements, the Company's ability to otherwise maintain satisfactory relations with its creditors, suppliers, customers and creditors; the Company's ability to maintain current trade credit terms and manage its cash and liquidity, the Company's high leverage and ability to service its debt; and the impact of defaults under its material agreements and debt instruments.

The cautionary statements set forth above should be considered in connection with any subsequent written or oral forward-looking statements that the Company or persons acting on its behalf may issue. The Company does not undertake any obligation to review or confirm analysts' expectations or estimates or to release publicly any revisions to any forward-looking statements to reflect events or circumstances after the date of this report or to reflect the occurrence of unanticipated events.

On May 17, 2005, Collins & Aikman Corporation and 37 of its U.S. subsidiaries filed voluntary petitions for reorganization under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the Eastern District of Michigan. Collins & Aikman's affiliates outside the United States were not included in the Chapter 11 filing.