MARK IV Reorganization Plan Wins Court Approval Reduces Debt Obligation by Approximately $800 Million

AMHERST, N.Y., Sept. 23 -- Mark IV announced today that less than five months after the Company entered Chapter 11, the Bankruptcy Court for the Southern District of New York has confirmed the Company's plan of reorganization. The Court's approval of the plan, which had been accepted by an overwhelming majority of Mark IV's creditors, clears the way for Mark IV to emerge from Chapter 11 in October.

Under the plan, as confirmed by the Court, Mark IV will reduce debt obligations on its balance sheet from approximately $1.2 billion to approximately $400 million. The Company's senior secured lenders will receive an 88 percent equity stake (before any allocation to management) in the reorganized company and pro rata participation in the Restructured Debt Term Loan Agreement. The remaining 12 percent would be shared by the Company's unsecured creditors, including senior secured lenders. Current equity in Mark IV will be cancelled and no distribution will be provided to current equity holders under the Plan.

The Company also announced that Jim Orchard and Mark Barberio will be co-chief executive officers of Mark IV. Mr. Orchard served as the Company's interim chief executive officer during the restructuring. Mr. Barberio, who also continues as Mark IV's chief financial officer, joined the company in 1985.

"Today the Court cleared the path for Mark IV to emerge from Chapter 11 quickly with a strong, stable platform from which to operate, invest and grow our business. This is a tremendous accomplishment," said Co-Chief Executive Officer of Mark IV, Jim Orchard.

The Company is working diligently to satisfy the various conditions to closing and is in discussions with its lenders to finalize exit financing commitments. Based on market feedback, Mark IV is confident it is on track to complete this last step in the balance sheet restructuring process.

"We are in a significantly stronger financial position today than we have been in the last 9 years," said Co-Chief Executive Officer and Chief Financial Officer Mr. Barberio said. "Now with a more rational capital structure, we look forward to not only providing the innovation, products and services our customers worldwide have come to expect from Mark IV, but also a future in which we can re-invest in our global businesses and continue to grow."

The Company also noted that during the Company's brief Chapter 11 filing, customers across all of its businesses continued to receive superior customer service with no interruption of supply. More importantly, unlike many other companies in the automotive sector, Mark IV was able to achieve all of its restructuring goals without the need for special assistance from its customers.

"The significant progress we have made during our very brief restructuring is the result of the hard work and dedication of our employees, to whom we owe a heartfelt thanks for a job well done. Our customers and suppliers have also stood with us through this difficult time, and for their loyalty, we are extremely grateful," Messrs. Orchard and Barberio concluded.

About Mark IV

Mark IV Industries, Inc., headquartered in Amherst, New York, USA (www.mark-iv.com) is a privately held leading global diversified manufacturer of highly engineered systems and components for vehicles, transportation infrastructure and equipment. The company's systems and components are designed to promote a cleaner and safer environment and include power transmission, air admission and cooling, advanced radio frequency, and information display technologies. The company has a geographically diverse innovation, marketing and manufacturing footprint, and employs 4,200 people across 18 manufacturing and 20 distribution/technical centers in 16 countries.