News Moll Industries

Nashville, TN (June 26, 2003) -- In less than ten months, Moll Industries, Inc. has emerged from bankruptcy as a vital player in the plastic injection molding industry. On June 5, Judge Ronald King of the Bankruptcy Court for the Western Texas District confirmed Moll's plan of reorganization. The plan reflected a consensual agreement between all key stakeholders and concerned parties -- including senior creditors, mezzanine lenders, and unsecured creditors. As a result, Moll has officially emerged from bankruptcy with a plan that becomes effective on June 24.

"Moll emerges from bankruptcy as a strong industry contender and in an excellent position to move foward," said William Teeple, Moll's Senior Vice President and Chief Financial Officer. "We have reconstructed our debt and streamlined our overhead. Our liquidity level is much higher and our debt level is much lower than we had projected due to the accelerated closure and sale of our discontinued operations. "
James Sprouse, Moll's Vice President and Corporate Controller said, "We have consolidated our operations into four, highly efficient plants -- Seagrove, NC; New Braunfels, TX; Nashville, TN; and Ft.Smith, AR. We have considerably more financial resources and capabilities than in years past as we focus on expanding our three core areas -- healthcare, appliances, and consumer products."

Moll also is announcing a major capital investment in two of its locations -- Ft.Smith and Nashville -- which will upgrade each plant's machine base and provide significant new efficiencies. Moll is purchasing 18 injection-molding machines from Toshiba Machine Co. America for $4.5 million.

The machines are a combination of hydraulic and electric, ranging in size from 250-tons to 720-tons, and will be delivered to the two Moll facilities by the end of October 2003. "We are very excited to take reciept of this equipment," said Ron Embree, vice president of operations for Moll. "We believe that the Toshiba's are an excellent value. The Toshiba machines will produce the same output using less square footage, freeing up space in both facilities, and allowing our business to grow without an additional bricks-and-mortar investment."

With this infusion of new state-of-the-art equipment, Moll will have much younger and more cost-effective machine fleet. Productivity levels will increase significantly providing Moll with additional cost advantages.
"We are very pleased that Moll partnered with us in this venture," said Tim Glassburn, vice president of Toshiba Machine. "Toshiba represents quality, reliability and superior dependability -- as does Moll. By our partnering with one of the industry's foremost plastic injection molders, this transaction reaffirms our position as one of the industry's finest injection molding equipment manufacturers.

Moll also has just negotiated and signed a new, three-year contract with Whirlpool Corporation. For the past 50 years, Moll has been manufacturing for several Whirlpool divisions at its Ft.Smith, Nashville and Texas facilities. "We are looking forward to continuing our Whirlpool partnership and renewing our long-term commitment to one of our major customers," said Embree.

"This agreement is very complementary to our long-term growth strategy of being a major supplier to the appliance industry. But, more importantly, this contract reflects the support and confidence Moll has recieved from its customers throughout its reorganization process."
On another positive note, Moll's Texas consolidation into New Braunfels is proceeding ahead of schedule, with more than 51 machines now up and running. The company is completely out of both its San Antonio and Austin locations.

Moll Industries, Inc. is a full-service manufacturer and designer of custom-molded and assembled plastic components for customers and end-markets throughout North America and Brazil.