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Malden Mills Plans Chapter 11 Emergence

Malden Mills Industries Inc., Lawrence, Mass., the agent for its senior lending group and its unsecured creditors committee have agreed in principle to terms for a consensual plan of reorganization. A proposed plan was filed with the US Bankruptcy Court March 7. Under the plan, which will allow CEO and President Aaron Feuerstein to retain company ownership, Malden expects to emerge from Chapter 11 protection by Memorial Day 2003.

"Malden ended 2002 and has begun 2003 on a very positive note," according to David Costello, business manager. The company has rehired all employees previously laid off and is now hiring 20 additional employees.

March 2003




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