The bankruptcy court in Greensboro, N.C., has approved an amended acquisition proposal of $614 million (subject to adjustment) from WL Ross & Co. LLC as the highest and best received from the auction conducted on July 28, 2003. The agreement contemplates the sale of Burlington Industries to WL Ross & Co. LLC, with a concurrent sale of Burlington's Lees carpet business to Mohawk Industries Inc.

The amended WL Ross acquisition agreement has been incorporated into the company's plan of reorganization. The related disclosure statement is scheduled to be reviewed by the court at a hearing in late August. If approved, Burlington expects the plan to become effective in October 2003.