Foamex Stock Plan To Raise $80 Million

Linwood, PA, March 13, 2008 — Foamex said it intends raise about $80 million in additional equity through a complex rights offering to existing shareholders and by exchanging some debt for additional common stock.

Under terms of the rights offering, shareholders could purchase additional stock at $1.50 per share.

Lenders who are part of the company’s Second Lien Loan also will be allowed to acquire shares at $1.50.

“The rights offering and the second lien offering would significantly de-leverage the company,” Foamex said in a press release.