DURA Automotive Systems Files Revised Plan of Reorganization

Company Reaches Agreement with All Major Creditor Constituencies and Intends to Proceed on an Expedited Basis to Emerge from Chapter 11

DURA Automotive Systems, Inc. (OTC: DRRAQ) today announced that it has filed its revised Chapter 11 Plan of Reorganization (the “Plan”) with the U.S. Bankruptcy Court for the District of Delaware. The Plan filed today reflects a consensual agreement among DURA’s key creditor constituencies. DURA intends to proceed on an expedited basis to obtain Court approval of the Plan and emerge from Chapter 11.

“The filing today marks an important milestone in the Company’s efforts to emerge from its Chapter 11 reorganization process in the very near term,” said Larry Denton, Chairman and Chief Executive Officer of Dura Automotive Systems. “Though weak credit markets delayed the emergence process during the fourth quarter of 2007, we have worked productively with our creditors to develop a revised Plan that places the company on an even firmer footing by reducing the amount of required exit financing.”

The Plan filed today is a revision of the previous version of DURA’s Plan, filed on August 22, 2007. The Plan is supported by DURA’s key creditor constituencies. Although certain supporting documentation continues to be refined, the Official Committee of Unsecured Creditors and the Ad Hoc Committee of Certain Second Lienholders have agreed in principle to support the Plan.

The Plan provides, among other things, details on how the Company intends to treat more than $1.3 billion in claims, which takes into account changed economics.

In light of these events, key terms of DURA’s revised Plan are as follows:
• Second Lien Claims will receive approximately $225 million in new Convertible Preferred Stock
• Senior Notes and Other General Unsecured Claims will receive 100% of New Common Stock (without giving effect to the conversion of the Convertible Preferred Stock)
• Debtor-in-Possession (DIP) claims, administrative expenses, and certain other priority claims will receive a full cash recovery
• Funding for the revised Plan will include a committed $80 million second lien loan facility, provided by certain of the Company’s creditors, in addition to a $150 million first lien term loan
• Upon emergence, DURA expects to be a publicly reporting company under SEC rules
• The company’s pre-bankruptcy subordinated notes, convertible preferred securities and existing equity will not receive recoveries under the Plan

Within the next few days, DURA intends to file a revised Disclosure Statement, which will provide additional information about the Plan. DURA will request that the Court approve the adequacy of that Disclosure Statement at a hearing to be scheduled in early April, with a solicitation of creditor acceptances to follow shortly thereafter.

DURA is advised by AlixPartners, Kirkland & Ellis and Miller Buckfire in connection with its Chapter 11 reorganization.

No Solicitation
Neither the Plan that was filed today nor this press release are solicitations for votes to accept the Plan.