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Harvard Industries' Reorganization Plan Confirmed

16 October 1998

Harvard Industries' Reorganization Plan Confirmed

    LEBANON, N.J., Oct. 16 -- Harvard Industries, Inc. announced
the confirmation of its first amended Plan of Reorganization dated August 19,
1998, by the Honorable Sue L. Robinson in the United States Bankruptcy Court
for the District of Delaware.
    Exit financing for the Plan of Reorganization will be provided from credit
facilities structured and arranged by Lehman Brothers Inc.  Lehman Commercial
Paper Inc. has provided a commitment subject to standard terms and conditions
to fund the entire principal amount of the credit facilities in an aggregate
amount of up to $165 million.  The Plan is expected to be fully effective
within 30 days.
    "We are very pleased with this outcome," said Roger G. Pollazzi, Harvard's
Chief Executive Officer.  "The new management team has worked extremely hard
to restructure Harvard operationally and financially.  The time has arrived
when we can put these Chapter 11 issues behind us and execute our plan for
growth and increased profitability."
    Harvard Industries, Inc., designs, develops and manufactures a broad range
of components for automotive original equipment manufacturers, the automotive
after market and industrial and construction equipment applications worldwide.
Headquartered in Lebanon, N.J., Harvard's 4,500 employees at 14 plants in the
United States and Canada produce total vehicle sealing systems, a variety of
polymer products, high-strength steel assemblies and a wide array of high-
strength aluminum, magnesium and iron products.
    For more information, contact: Joe Gagliardi and Jerry Tighe, Harvard
Industries, 908-437-4100; or Andy Barlow, Public Communications Inc.,
813-226-2772.