DURA Automotive Announces Completion of Note Offering and Amendment of Senior Credit Facility.

Business Editors

ROCHESTER HILLS, Mich.--(BUSINESS WIRE)--Nov. 4, 2003

DURA Automotive Systems, Inc. (Nasdaq:DRRA), announced today the closing of an additional $50 million private placement of 8 5/8% senior notes due 2012 through its wholly owned subsidiary, Dura Operating Corp. The company also said that on Oct. 31, 2003, it closed on the amendment and restatement of Dura Operating Corp.'s senior credit facility.

The notes are substantially identical to Dura Operating Corp.'s $350 million 8 5/8% senior notes due 2012 issued in 2002. DURA intends to offer to exchange the unregistered notes for substantially identical registered notes following completion of the offering. After the exchange, these notes will be identical to, and will trade as a single series with, the previously issued senior notes. In conjunction with the note offering, DURA entered into a fixed to floating interest rate swap with a notional amount of $75 million. This transaction, together with DURA's existing $325 million swap, has reduced the effective interest rate on the company's 8 5/8% senior notes to more closely mirror the cost of its bank debt.

The amendment and restatement of the senior credit facility extends the maturity of the revolving credit facility and provides the company with increased operating flexibility and borrowing availability, as a result of the modification of financial covenants contained in the original senior credit facility. The amended and restated credit facility provides a $175 million revolving credit facility that is available until October 2008. The term loan facility of approximately $148 million remains outstanding.

The notes have not been registered under the Securities Act of 1933, as amended, or applicable state securities laws, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act of 1933, as amended, and applicable state securities laws. This press release shall not constitute an offer to sell or the solicitation of an offer to buy the notes.

This press release contains forward-looking statements that are subject to risks and uncertainties. These statements often include words such as "believe," "expect," "project," "anticipate," "intend," "plan," "estimate," or similar expressions. These statements are based on current expectations and assumptions that DURA has made in light of its experience in the industry as well as its perceptions of historical trends, current conditions, expected future developments and other factors it believes are appropriate under the circumstances. Actual results may differ materially from the anticipated results because of certain risks and uncertainties, including but not limited to (i) expected synergies, economies of scale and cost savings from the company's acquisitions not being fully realized or realized within the expected times frames; (ii) unanticipated difficulties servicing the indebtedness of the company; (iii) costs or operational difficulties related to integrating the operations of the acquired entities with those of the company being greater than expected; (iv) labor disputes involving the company or its significant customers; (v) risks associated with conducting business in foreign countries; and (vi) general economic or business conditions affecting the automotive industry, either nationally or regionally, being less favorable than expected.