Formica Corp. has filed its plan of reorganization and disclosure statement with the United States Bankruptcy Court for the Southern District of New York. A hearing to approve the disclosure statement has been set for October 29. The court earlier approved the stock purchase agreement with an investment group sponsored by Cerberus Capital Management L.P. and Oaktree Capital Management LLC in which the investment group committed to invest $175 million in cash in Formica and its subsidiaries.

Formica's plan reflects agreement on the principal terms of a consensual reorganization among the company, its senior-secured lenders and the official committee of Formica's unsecured creditors.

Under the plan of reorganization, which is subject to creditor approval, confirmation by the bankruptcy court and certain other conditions, Formica will emerge with a significantly stronger balance sheet and less debt. The company believes that the process should conclude no later than the first quarter of 2004, and that Formica will emerge from Chapter 11 with approximately $160 million of consolidated debt compared to more than $540 million in debt at the time of its Chapter 11 filing.

Upon approval of the disclosure statement, Formica will commence solicitation of votes for approval of the plan from those of its pre-petition creditors who are entitled to vote on the plan.