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Special Metals Receives Waiver  Special Metals Corporation announced today that the Company did not meet a sales revenue covenant contained in its Post petition Credit Agreement but has obtained the agreement of its bank group to waive the technical default. The Company's revenue for the period from April 1, 2002 through May 31, 2002 was $96.282 million, which was $936 thousand less than the amount required by the terms of the credit agreement for the period. Special Metals met the five remaining financial covenants for the month of May. The waiver provided by the bank group is unopposed by the Creditors' Committee and is subject to court approval which is expected to occur promptly. The Company has substantial cash resources and, other than obtaining a letter of credit in the amount of $225,000, has not drawn on its availability under the $60 million postp etition revolving credit facility. In addition, the Company does not anticipate a need in the near term to access the credit facility. T. Grant John, Special Metals' President said, "The Company is currently generating sufficient cash from operations and the use of cash collateral to support our businesses in the ordinary course. We are pleased by the continued support of our lenders, as well as our customers, suppliers, and employees, as we work through the reorganization process."  (07-02-02)

Glasstech to Emerge  Glasstech Inc., of Perrysburg Township, has won approval for a plan to emerge from Chapter 11 just five months after the glass plant equipment supplier sought relief from $9-million a year in interest payments and other debt. Judge Judith Walrath, of U.S. Bankruptcy Court in Wilmington, Del., agreed at a hearing Thursday to approve a plan that will convert bond-owners holding $70 million in Glasstech notes into controlling shareholders. "Everybody at Glasstech is very excited about the company's future," said spokesman Mike Hart. The firm, which lost $35 million the past four years, expects to be profitable next year. (07-01-02)

Metals USA Hiring Update  Metals USA, Inc. announced an agreement has been reached with the Official Committee of Unsecured Creditors (which is comprised of holders of the Company's 8.625% Senior Subordinated Notes and trade creditors) on the terms of a Plan of Reorganization, subject to definitive documentation and obtaining the required approvals and exit financing. Under the agreed terms, the Plan would provide that the Company's existing equity will be extinguished. The Company's unsecured creditors (other than creditors with de minimis /convenience class claims) will receive a publicly traded equity in the form of 100% of the new common stock in the reorganized company to discharge approximately $380 million of unsecured debt. Holders of existing equity will receive five-year warrants to purchase an aggregate of up to fifteen percent of the new common stock of the reorganized company. The warrants will have an exercise price calculated at full recovery for all unsecured creditors. The company cannot provide any assurance as to whether a market will develop for the warrants.  (06-25-02)

Bush Steel Exemptions Issued  According to published reports, the Commerce Department and the Office of the United States Trade Representative jointly announced that President George Bush has issued an additional round of exemptions related to the imported steel tariffs instated in March 2002. This round of exemptions, the third, brings the total number of foreign steel products now exempt to more than 2000. (06-25-02)

Geneva Steel Agreement Announced  Geneva Steel, LLC announced that it has reached agreement with its secured lenders for continued access to cash proceeds of sales of inventory and collections of accounts receivable. Access to cash pursuant to the agreement is subject to compliance with several conditions, including the filing of a guaranteed loan application by a qualified lender representing the Company under the Emergency Steel Loan Guarantee Program by July 1, 2002, and a budget for cash disbursements. The use of cash collateral will terminate on the earlier of: (a) July 15, 2002, if a guaranteed loan application is not submitted by July 1, 2002, (b) if a guaranteed loan application is submitted, 15 calendar days after the Government Loan Guarantee Board provides written notice of its approval or denial of an application or (c) an event of default under the existing loan agreements. The agreement also added additional conditions and defaults, including obligations to provide certain information to the lenders and the allocation of proceeds of certain asset dispositions. (06-25-02)

Exide Facility Funded  Exide Technologies, Inc. announced that on May 31, 2002 it funded and closed its $177.5 million pan-European securitization facility. The financing was arranged by Citicorp USA and other financial institutions. Craig Muhlhauser, Chairman and Chief Executive Officer of Exide Technologies, commented, "The securitization financing ensures that our international operations, which are not included in our Chapter 11 filing, can continue to support our customers' requirements and move forward with the implementation of our business plan." (06-11-02)

Burlington Future Plans Announced  Burlington Industries, Inc. announced details on its future structure and the Company's strategic direction. George W. Henderson, III, Chairman and Chief Executive Officer, commented, " We are moving aggressively to implement these actions and move forward as a stronger, more competitive company. Our actions remain focused on creating a solid base on which to grow our company and position us to effectively provide products that bring distinction and value to the market." The Company's new plans focus on elevating the Company's ability to bring innovation and distinctive products to the market, includes the following businesses: Lees Carpets, Burlington House, Burlington WorldWide, Burlington Apparel Fabrics, and Nano-Tex, LLC.  (06-06-02) 

Birmingham Steel Files Chapter 11  Birmingham Steel Corporation announced it had reached a definitive agreement with Nucor Corporation to sell substantially all the assets of Birmingham Steel and its subsidiaries for $615 million in cash. Pursuant to the terms of the definitive agreement, Birmingham Steel Corp. filed a Chapter 11 bankruptcy proceeding before the U.S. Bankruptcy Court in the District of Delaware for purposes of confirming and implementing the sale to Nucor. The proceeds from the sale to Nucor will retire Birmingham Steels secured debt to various lenders. The Company and its secured lenders have negotiated a pre-arranged Chapter 11 plan agreement which provides for, among other things, that secured lenders pay a portion of the sales proceeds to unsecured creditors and $15 million, or approximately $.47 per share, to shareholders.   (06-05-02)

Arthur Andersen Statement  Arthur Andersen issued the following statement: "We regret that talks regarding a civil settlement with the lead class plaintiff, the Enron bankruptcy estate, and company creditors have ended. We worked in good faith over the last several months to resolve these matters to the benefit of all parties. During these discussions, considerable progress was made, but unfortunately, the plaintiffs could not resolve several differences among themselves and with defendants other than Arthur Andersen." (05-02-02)

Republic Sale Announced  Republic Technologies International, LLC announced that it has signed a non-binding letter of intent to sell substantially all its assets to RTI Acquisition Corporation, a new company formed by KPS Special Situations Fund L.P. and Pegasus Partners II L.P. to acquire Republic. The letter of intent is subject to higher and better offers, and Republic intends to file a motion in the U.S. Bankruptcy Court to formalize a procedure for reviewing this and other purchase offers. The estimated value of the KPS/Pegasus transaction, including cash and the assumption of liabilities, is approximately $450 million. As part of the letter of intent, KPS and Pegasus have reached a successor labor agreement with the USWA based in substantial part on the agreement that was part of the Republic contract ratified by Steelworker employees in January. (04-25-02)

Steel Heddle Dismissal Sought  Steel Heddle Group, Inc. filed a motion seeking a U.S. Bankruptcy Court order to temporarily terminate retiree and former employee benefit payments and, thereafter, to dismiss these cases. (04-24-02)

Guilford Mills Financing Approved, Focus Announced  Guilford Mills, Inc. announced that the U.S. Bankruptcy Court granted final approval to its $30 million debtor-in-possession financing agreement with Wachovia. Separately, the Company also announced intentions to exit apportion of its circular knit apparel fabric business in order to focus the company on core operations, including worldwide automotive, technical textiles, and American Textil (located in Mexico City). Related to this core focus, the Company further announced intentions to eliminate more than 250 jobs and close plants in Altamira, Mexico and Lumberton, North Carolina. (04-23-02)

Court Approves Enron Steel Inventory Sale The U.S. Bankruptcy Court approved Enron Corp.'s motion to sell steel inventory to nine steel companies for $19.3 million in cash. The inventory, which consists of about 70,000 tons of steel coil and plate, is part of the non-core assets of Enron North America. The nine winning bidders in the inventory auction are Kerry Steel Inc., Metalswest LLC., Bar Steel Corp., Metals USA Inc. (MUIN), CSN LLC., Nance Steel Inc., Benson International Inc., Sunbelt Group, and Cargill Inc.(04-22-02)

IT Group Auction Results Announced  The Shaw Group, Inc. announced that in the U.S. Bankruptcy Court auction in the IT Group, Inc. case, IT Group selected Shaws bid as the highest and best offer for substantially all Company assets. (04-22-02)

Burlington Industries, Inc. announced that it has signed a definitive agreement with Richloom Fabrics Group, Inc. for the sale of Burlington's residential upholstery business. The Company also announced it will sell to Bacova Guild, Ltd. its bath consumer products assets. Both sales would include certain inventories and intellectual properties.  (4-16-02)

Special Metals Interim D.I.P.  announced that the Company and its U.S. subsidiaries have obtained a commitment for a $60 million debtor-in-possession revolving credit facility from a bank group led by Credit Lyonnais. The Court granted interim approval to the financing, allowing up to $18 million in loans to be made available immediately upon completion of final loan documents. The Courts ruling also authorizes issuance of up to $10 million in letters of credit under the D.I.P. ( 4-16-02)

ZAP announced that it filed a Plan of Reorganization and related Disclosure Statement with the U.S. Bankruptcy Court. The Plan primarily calls for creditors to be issued stock and warrants in exchange for Debt. Upon the effective date of the Plan, ZAP will acquire RAP Group, Inc. and Voltage Vehicles. ( 4-16-02)

Anchor Glass Files Chapter 11 Anchor Glass Container Corporation filed for Chapter 11 protection with the U.S. Bankruptcy Court for the Middle District of Florida, Tampa Division, concurrently filing a pre-negotiated Plan of Reorganization with the Court. The Company stated that the filing was prompted by liquidity issues raised by change of control provisions in the Company's debt instruments. In addition, Anchor's secured bond holders will retain their $150 million of first mortgage notes that are outstanding, plus receive a consent fee for a waiver of the change-of-control provisions and other non-financial changes to the terms of the notes. The unsecured bondholders will receive $50 million in cash; Series A preferred stock holders will receive cash payments of $22.5 million; and secured creditors and all trade vendors will receive 100% recovery. In mid-March 2002, Anchor entered into an agreement with Cerberus Capital Management LP to infuse Anchor with $100 million in new capital, of which $80 million will be in the form of equity capital. The agreement also contemplates that Anchor's bank line of credit will be replaced with a new $100 million credit facility. A new board of directors will also be elected ( 4-16-02)

LTV Sale Complete International Steel Group, owned by WL Ross & Co., announced that it has completed its $125 million purchase of the assets of LTV Corp. Some union steelworkers may be recalled immediately, according to published reports. ( 4-15-02) Exide Technologies, Inc. announced that it and certain of its U.S. subsidiaries filed voluntary petitions for relief under Chapter 11 of the U.S. Bankruptcy Code with the U.S. Bankruptcy Court in the District of Delaware. Exide stated that its heavy debt burden, caused largely by a debt-financed global acquisition strategy and the costs of integrating these acquisitions, combined with the current economic conditions has made it necessary for the Company to file for reorganization to address its financial leverage and debt burden. The Company said that it has arranged for $415 million in new financing, including $250 million in debtor-in-possession financing provided by Citicorp USA, Inc., a subsidiary of Citibank N.A., and other financial institutions, and $165 million in financing provided by Citibank N.A. and other financial institutions for the entities outside of the U.S. that are not filing. Exide is represented by Kirkland & Ellis. Jay Alix and Associates and The Blackstone Group are engaged to provide restructuring and financial advisory services. ( 4-15-02)

Federal-Mogul Leadership Continued To ensure continuity of leadership during the company's current restructuring, Federal-Mogul Corporation announced that Chairman and Chief Executive Officer Frank Macher and President and Chief Operating Officer Chip McClure will remain in their current roles for the foreseeable future -- extending the transition period before McClure succeeds Macher as CEO and president. ( 4-12-02)

Railworks Examinations Sought, Approved & Denied Railworks Corp.'s official committee of unsecured creditors filed an emergency motion seeking U.S. Bankruptcy Court approval to conduct a 2004 Examination of the Company and Travelers Casualty And Surety Company of America. The Court also approved the Company's motion to examine General Electric Capital Corp. and Frank Marrazzo, Jr.; however, the Court denied the Company's motion to retain Judlau Contracting, Inc.  (4-12-02)

Metals USA Sales Announced Metals USA, Inc. announced that it is selling 11 business units, with 2001 gross revenues of approximately $390 million, to help the Company become more strategically focused and reduce bank debt. J. Michael Kirksey, Chairman, President & Chief Executive Officer, stated, "These divestitures represent operations that added specific market or product expertise but are not central to the future operating platform we envision. The sale of these businesses, which comprises approximately ten percent of the company's 108 facilities, along with four previously announced divestitures, will enable us to pay bank debt down by approximately $100 to $120 million."  ( 4-08-02)

National Steel Final D.I.P. Approval Granted National Steel Corp. announced that the U.S. Bankruptcy Court has granted final approval to the Company's $450 million debtor-in-possession financing agreement, which calls for the Company's existing senior secured bank group, to provide post-petition financing for the purchase of goods and services and fund the Company's ongoing operating needs during its restructuring process.  ( 4-04-02)

Southern Fabricators Files Chapter 11 Southern Fabricators, Inc. filed for Chapter 11 protection with the U.S. Bankruptcy Court in the Western District of Tennessee (Memphis Division), listing total assets and liabilities of $42 million and $31 million, respectively. The Company is represented by Jonathan E. Scharff. ( 4-04-02)

Special Metals Files Chapter 11 Special Metals Corporation announced that the Company and its U.S. subsidiaries have filed voluntary petitions for reorganization under Chapter 11 of the United States Bankruptcy Code with the U.S. Bankruptcy Court in the Eastern District of Kentucky (Lexington). The Company stated that its senior lenders have prohibited the Company from additional borrowing under its revolving credit facility. As a result, the Company lacks sufficient liquidity to make approximately $9 million in scheduled principal payments that are due at the end of March. In addition to Special Metals Corporation, the U.S. subsidiaries that filed reorganization petitions are A-1 Wire Tech, Inc., Special Metals Domestic Sales Corporation, and Inco Alloys International, Inc.   ( 03-28-02)

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