Armstrong announces a significant step toward approving its plan of reorganization

Armstrong World Industries Inc., the operating subsidiary of Armstrong Holdings Inc., has announced a significant step toward ultimate approval of its Chapter 11 plan of reorganization (POR).

At a hearing on the company's POR that concluded Tuesday, the Hon. Randall J. Newsome, U.S. Bankruptcy Court Judge, announced proposed findings of fact and conclusions of law that would dismiss all remaining objections and approve the POR. However, confirmation of the POR now requires action by the U.S. District Court on the Bankruptcy Court's recommendations. The timing of that is uncertain. Armstrong hopes to be able to consummate the POR and emerge from Chapter 11 in early 2004.