North Carolina
Industrial Commission

MEMORANDUM

TO:         All Interested Parties

FROM:   Vice Chairman Pamela T. Young

DATE:    May 13, 2004

RE:         Cone Mills Corporation

            Cone Mills Corporation filed a voluntary petition for relief under Chapter 11 of the U.S. Bankruptcy Code with the U.S. Bankruptcy Court in Delaware. Cone Mills has been paying workers’ compensation claims with the approval of the U.S. Bankruptcy Court.

            Cone Mills has announced that it will no longer pay workers’ compensation claims as of June 4, 2004. The North Carolina Self-Insurance Guaranty Association is liable for “covered” claims for the period of self-insurance of Cone Mills after June 4, 2004. All claims for Cone Mills should be directed to:

Ms. Catherine R. Stuart
Stuart Law Firm, PLLC
4101 Lake Boone Trail
Raleigh, North Carolina 27607
(919) 787-6050, Fax: (919) 787-9988
E-mail: cstuart@stuartlawfirm.com

            Those claimants who are currently receiving benefits under the Workers’ Compensation Act should immediately contact Ms. Stuart. The North Carolina Self-Insurance Guaranty Association will secure Cone Mills’ claim files.

            Questions or concerns regarding Cone Mills claims should be directed to: Stephen T. Gheen, Chief Deputy Commissioner, 919-807-2540 or gheen@ind.commerce.state.nc.us. Due to the volume of inquiries, email communication is requested if possible, though not required.

            The Industrial Commission website (www.comp.state.nc.us) will be updated as needed with additional information.

Read Chairman Buck Lattimore's October 14, 2003 Memo