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Attwater

Cambridge Sells Assets, Shifts Focus to Completing Bankruptcy Proceedings

18 July 2000

Cambridge Industries', Inc. Board of Directors confirmed yesterday that it has closed on the sale of substantially all of the company's assets to Meridian Automotive Systems, Inc. of Dearborn, Michigan. This action clears the way for Cambridge to transfer ownership of the purchased assets to Meridian and to finalize all bankruptcy-related proceedings. Cambridge has been operating under bankruptcy protection since May 10, when the company voluntarily filed petitions under Chapter 11 to facilitate completion of the sale process. Following today's closing, a small core of Cambridge management led by Don Campion, the company's chief financial officer, will continue to oversee completion of remaining bankruptcy proceedings, including court-approved payments of secured and unsecured debt to Cambridge creditors. It is expected that most of the bankruptcy proceedings will be completed by the end of the year. Pepper Hamilton LLP will continue to serve the estate as bankruptcy counsel. "We are on track to obtain approval of our plan sometime during the 4th quarter," said Don Campion. "Following that, we will begin making payments to each of the various classes of Cambridge creditors in accordance with our plan and with input from the creditors' committee. We hope to pay the appropriate distributions to most of our creditors by yearend." Headquartered in Madison Heights, Mich., Cambridge Industries was a Tier 1 plastic composites supplier to the automotive, light and commercial truck, and industrial products markets with facilities in the U.S., Canada, and South America. Meridian Automotive Systems is headquartered in Dearborn, Mich. and has 13 locations in Michigan, Indiana, Kansas and Tennessee. Meridian is a leading supplier of technologically advanced front and rear end modules, signal lighting, console modules, instrument panels and other interior systems to Ford, GM, DaimlerChrysler, Toyota and other major Tier 1 parts suppliers.