CONTECH, LLC Obtains Interim Financing and Customer Agreements to Support Restructuring Effort

PORTAGE, Mich.--CONTECH, LLC, a leading die-cast component supplier and steel products manufacturer for the automotive and commercial truck industries, announced today that it has obtained interim financing and accommodation agreements with its lenders and key customers. The financing agreement includes a DIP facility with a revolving loan commitment in aggregate principal amount of $7.2M, with additional funds contributed by CONTECH’s key customers pursuant to an accommodation agreement.

The company filed a voluntary petition for relief under Chapter 11 on January 30th, 2009. Unprecedented reductions in production volumes across the automotive industry and its key customers have severely impacted CONTECH’s operations.

The company will use the funds obtained through its DIP facility to fund normal business operations and to support the Company’s restructuring effort as part of its Chapter 11 filing.

“These agreements represent an essential milestone in CONTECH’s restructuring plan,” said Morris Rowlett, Chief Executive Officer of CONTECH, LLC. “The continued support from our customers is a reflection of our employees’ commitment to quality and service.”

Electronic copies of these agreements, along with additional information regarding CONTECH’s Chapter 11 restructuring process, can be found at www.kccllc.net/CONTECH.

CONTECH is a market leading supplier of highly engineered, geometrically complex, light-weight cast component solutions for automotive OEM’s and Tier I suppliers. CONTECH also manufactures safety critical steel forged automotive components and steel tube fabrications through its Steel Products Group, primarily for commercial truck OEM’s. CONTECH is headquartered in Portage, MI and has approximately 1,000 employees. The company’s operations in the United Kingdom are not included in the Chapter 11 filing. CONTECH is being advised by Huron Consulting Group and Paul Hastings as its financial and legal advisors, respectively.