LANCASTER, PA., June 2, 2006 -- Armstrong World Industries, Inc. (Armstrong), the operating subsidiary of Armstrong Holdings,
Inc. (OTC Bulletin Board: ACKHQ), today announced that a three-day hearing to confirm Armstrong’s Modified Plan of Reorganization
was held May 23-25 in Philadelphia before Federal District Court Judge Eduardo Robreno. Confirmation of the Plan is necessary
for Armstrong to emerge from Chapter 11.
The only contested issue at the hearing was whether the Plan’s allocation of value to the current and future asbestos personal
injury claimants unfairly discriminates against the general creditors represented by the Unsecured Creditors Committee.
Judge Robreno heard testimony from fact witnesses on Armstrong’s past products, the history of the insulation contracting
business, and Armstrong’s asbestos claims handling and litigation experience. Expert witnesses also testified concerning
their views about Armstrong’s estimated present and future asbestos liability.
At the close of the hearing, Judge Robreno established a schedule for post-trial briefs to be filed by the parties through
June and set closing arguments for Tuesday, July 11, 2006 in his courtroom.
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