Cooper-Standard Automotive to emerge from Chapter 11 in late May

Cooper-Standard Holdings Inc., the parent company of Cooper-Standard Automotive Inc., announced that on May 12, the United States Bankruptcy Court for the District of Delaware confirmed its Second Amended Joint Chapter 11 Plan of Reorganization, paving the way for the company to exit Chapter 11 in late May.

"Confirmation of the plan is one of the final elements of a restructuring geared towards strengthening our financial footing and positioning the company for continued success," said James S. McElya, chairman and chief executive officer of Cooper-Standard. "Our creditors have overwhelmingly supported a plan that will reduce the company's debt and allow Cooper-Standard to maintain our leadership position in the industry and continue providing innovative technology solutions to our customers."

All of the creditors who cast ballots on the plan voted in favor of confirmation.

As previously announced, under the terms of the plan, the company's debt will be substantially reduced with an estimated funded debt balance at emergence of approximately $480 million, representing a decline of over $650 million from pre-petition levels. the plan incorporates a rights offering provided for under the terms of the Equity Commitment Agreement with certain of the company's noteholders, which was approved by the Court in March. Under the terms of the Equity Commitment Agreement, certain holders have committed to invest $355 million to purchase the equity of Cooper-Standard.

Additionally, the company, through a wholly-owned non-debtor subsidiary, effectuated the issuance of $450 million of 8.5 percent senior notes due 2018, the proceeds of which were funded into escrow pending the company's emergence from Chapter 11. The proceeds from the notes, cash on hand, and a committed $125 million working capital facility will be used to implement the plan and fund certain operating costs once the company emerges from Chapter 11.

The Plan will become effective upon satisfaction of certain conditions set forth in the plan. the company expects the plan to become effective in late May 2010.

Cooper-Standard and its U.S. subsidiaries filed voluntary petitions under chapter 11 of the U.S. Bankruptcy Code on August 3, 2009. the company's Canadian subsidiary, Cooper-Standard Automotive Canada Limited, on August 4, 2009 sought relief under the companies' Creditors Arrangement Act in the Ontario Superior Court of Justice in Toronto, Ontario, Canada. Cooper-Standard Automotive Canada Limited's plan of compromise or arrangement was sanctioned on April 16, 2010, and is expected to become effective immediately prior to the effective date of the plan.

About Cooper-Standard Automotive
Cooper-Standard Automotive Inc., headquartered in Novi, Mich., is a leading global supplier of systems and components for the automotive industry. Products include body sealing systems, fluid handling systems and anti-vibration systems. Cooper-Standard Automotive employs approximately 16,000 people globally and operates in 18 countries around the world.