FOAMEX OBTAINS AMENDMENTS TO CREDIT AGREEMENTS
LINWOOD, PA, March 28, 2008 - Foamex International Inc. (OTC: FMXL), a leading manufacturer of flexible polyurethane and advanced polymer foam products, today announced that it has executed amendments to its First Lien Term Credit Agreement and Second Lien Term Credit Agreement, which permit the Company to make an offer to exchange its Common Stock for its Second Lien Loans at par value (the Second Lien Offering). Certain fees were paid to the lenders in connection with the amendments. Having obtained the amendments, the Company is positioned to proceed with the previously-announced rights offering to all of its stockholders (the Rights Offering). If completed, the Second Lien Offering and the Rights Offering would significantly deleverage the Company.
The Company is negotiating with certain of its large stockholders for potential commitments in connection with these offerings. There is no assurance that such commitments will be made. If the Company proceeds with these two offerings, they would be expected to be completed in the second quarter of 2008.
This press release does not constitute an offer of any securities for sale.
About Foamex International Inc.
Foamex, headquartered in Linwood, PA, is a leading producer of polyurethane foam-based solutions and specialty comfort products. The Company services the bedding, furniture, carpet cushion and automotive markets and also manufactures high-performance polymers for diverse applications in the industrial, aerospace, defense, electronics and computer industries. For more information visit the Foamex web site at http://www.foamex.com.
Forward-Looking Statements
This press release contains, and oral statements made from time to time by representatives of the Company may contain forward-looking statements within the meaning of Section 27Aof the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such forward-looking statements include, without limitation, future operating results, operating efficiencies, future market prices and margins, future energy costs, future government and legislative action, future cost savings, future benefit costs, the Companys liquidity and ability to finance its operations, and other statements that are not historical facts that involve certain risks, uncertainties and assumptions. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual outcomes may vary materially from those indicated. Additional information that could cause actual results to vary materially from the results anticipated may be found in the Companys most recent Form 10-K and other reports filed with the Securities and Exchange Commission. Readers should be aware that any forward-looking statement made in this press release or elsewhere by the Company speaks only as of the date on which it was made, and the Company disclaims any obligation or intent to update any of the factors listed above or forward-looking statements.
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