SHEBOYGAN, WI -- J.L. French Automotive Castings, Inc., a privately-held supplier of high pressure die-cast aluminum automotive components and assemblies, has filed its Plan of Reorganization and Disclosure Statement outlining how the company will satisfy claims in its Chapter 11 case and emerge successfully as a reorganized company.

Founded in 1968, J.L. French Automotive Castings manufactures aluminum die-cast automotive parts including oil pans, engine front covers, engine blocks and transmission cases. The company employs more than 1,800 people in its ongoing operations worldwide.

The plan's terms are consistent with those outlined by the company when it filed its voluntary petitions under Chapter 11 on Feb. 10.

"We are on track with our reorganization, as evidenced by today's filing which has been completed in less than 60 days since we first entered Chapter 11," said Jack Falcon, chairman, chief executive officer and president. "During this time, we have operated our business as we intended: We have entered into new business agreements with major customers, commenced shedding underutilized assets and maintained our organizational leadership in its entirety. We are optimistic that we will complete the reorganization and emerge with a new, revitalized balance sheet by the end of the second quarter of this year."

The plan, which outlines the treatment of claims as divided into various creditor classes, calls for the repayment in full of the first lien debt totaling approximately $295 million. All classes related to the payment of debtor-in-possession financing claims, administrative expenses, priority claims and capital leases and other secured claims will be paid in full.

Under the plan, the second lien notes claims, which total approximately $177 million, will be converted into 8 to 22 percent of the new common stock and three tranches of warrants for new common stock in the reorganized company. The warrants will have strike prices ranging from $195 million to $295 million in equity value. Holders of second lien notes claims may also participate in a rights offering that will raise between $110 million and $130 million in exchange for 78 to 92 percent of the new equity. This cash will help finance the reorganized company's exit from Chapter 11. The rights offering will commence concurrent with Plan solicitation. The company recently received Court approval to pay fees to those parties that made commitments to backstop the Rights Offering.

Trade creditors will receive 100 percent of the face amount of their claims, but will not receive interest on those claims. General unsecured creditors other than holders of senior subordinated 11 ½ percent notes and trade creditors will receive their pro rata shares of the greater of $50,000 or common stock having a value equal to certain property unencumbered by liens.

The subordinated 11 ½ percent notes are contractually subordinated to the second lien notes claims, and holders of those notes will not receive any distributions unless the second lien notes claims have been satisfied in full. Preferred and common equity holders will receive no distribution under the Plan.

Distributions under the plan will be made through new cash investment, as well as exit financing of no less than $255 million, of which $205 million will be a term loan and a revolver of $50 million, with at least $30 million unfunded capacity at the time the Plan becomes effective. The company is considering several exit financing proposals and expects to have an exit financing commitment shortly.

As of Dec. 31, 2005, J.L. French had approximately $465 million in first and second lien senior secured debt and $28.9 million in 11.5 percent senior subordinated unsecured notes due 2009. The company incurred the majority of this debt as a result of an expansion and acquisition program in the late 1990s. When J.L. French completes its reorganization, it anticipates long-term debt of approximately $26 million, in addition to the new $205 million term facility that will be added to the balance sheet. As of Dec. 31, 2005, the company had approximately $268 million in consolidated net operating losses.

The company's 2005 revenues were approximately $482 million, most of which the company generated in its continuing operations in Wisconsin and Kentucky in the U.S. and in Spain.

For more information about J. L. French, visit: www.jlfrench.com .

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