Collins & Aikman Awarded Future Chrysler Group Interior Systems Business
12/6/2005
PR Newswire via Wards

TROY, Mich., Dec. 6 /PRNewswire-FirstCall/ -- Collins & Aikman Corporation(CKCRQ) announced today that DaimlerChrysler AG's Chrysler Group has selectedthem as the supplier for a significant portion of the interior systems on afuture platform of vehicles scheduled for 2008.

'We are extremely pleased to be selected by DaimlerChrysler and appreciatetheir confidence in our ability to fully support this major program,' saidFrank Macher, President and CEO of Collins & Aikman. 'An award of thismagnitude reflects Collins & Aikman's ability to compete and deliver on cost,quality, craftsmanship and innovation across our full line of interiorproducts.'

Supplying a complete range of services, Collins & Aikman will beresponsible for all design, engineering, logistics and quality planning forinstrument panels, integrated cockpit systems, center floor consoles, pillarand garnish trim, rear package trays, molded carpet flooring systems,accessory mats, rear cargo and trunk trim and other components for the futurevehicle program.

Multiple existing Collins & Aikman facilities will produce the componentsand systems to support the program.

Collins & Aikman Corporation is a leader in cockpit modules and automotivefloor and acoustic systems and is a leading supplier of instrument panels,automotive fabric, plastic-based trim, and convertible top systems. TheCompany is headquartered in Troy, Michigan. Additional information aboutCollins & Aikman is available on the Internet athttp //www.collinsaikman.com.

Cautionary Statement Concerning Forward-Looking Information

The foregoing reflects the Company's views about the accountinginvestigation, its financial condition, performance and other matters thatconstitute 'forward-looking' statements, as that term is defined by thefederal securities laws. You can find many of these statements by looking forwords such as 'may,' 'will,' 'expect,' 'anticipate,' 'believe,' 'estimate,''should,' 'continue,' 'predict,' 'preliminary' and similar words used herein.These forward-looking statements are intended to be subject to the safe harborprotection provided by the federal securities laws. These forward-lookingstatements are subject to numerous assumptions, risks and uncertainties.Because the statements are subject to risks and uncertainties, actualdevelopments and results may differ materially from those expressed or impliedby the forward-looking statements. Readers are cautioned not to place undue reliance on the statements, which speak only as of the date hereof.

Various factors that may affect actual outcomes and performance andresults include, but are not limited to, general economic conditions in themarkets in which the Company operates, declines in North American, SouthAmerican and European automobile and light truck builds; labor costs andstrikes at the Company's major customers and at the Company's facilities;fluctuations in the production of vehicles for which we are a supplier;changes in the popularity of particular car models, particular interior trimpackages or the loss of programs on particular vehicle models; dependence onsignificant automotive customers; the level of competition in the automotivesupply industry and pricing pressure from automotive customers; risksassociated with conducting business in foreign countries; and increases in theprice of certain raw materials, including resins and other petroleum-basedproducts. In addition, the following may have a material impact on actualoutcomes and performance and results the results of the pendinginvestigation; the change in leadership at the Company, the Company's abilityto maintain access to its receivables facility and other financingarrangements, the Company's ability to otherwise maintain satisfactoryrelations with its creditors, suppliers, customers and creditors; theCompany's ability to maintain current trade credit terms and manage its cashand liquidity, the Company's high leverage and ability to service its debt;and the impact of defaults under its material agreements and debt instruments.

The cautionary statements set forth above should be considered inconnection with any subsequent written or oral forward-looking statements thatthe Company or persons acting on its behalf may issue. The Company does notundertake any obligation to review or confirm analysts' expectations orestimates or to release publicly any revisions to any forward-lookingstatements to reflect events or circumstances after the date of this report orto reflect the occurrence of unanticipated events.