UNITED STATES BANKRUPTCY COURT EASTERN DISTRICT OF MICHIGAN SOUTHERN DIVISION In re: COLLINS & AIKMAN CORPORATION, et al,

Debtors.
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Chapter 11 Case No. 05-55927-R (Jointly Administered) Tax Identification No. 13-3489233 Honorable Steven W. Rhodes

OBJECTION BY BECKER PROPERTIES, LLC AND ANCHOR COURT, LLC TO FIRST AMENDED JOINT PLAN OF COLLINS & AIKMAN AND ITS DEBTOR SUBSIDIARIES Becker Properties, LLC and Anchor Court, LLC (collectively, Becker) object to the First Amended Joint Plan of Collins & Aikman and its Debtor Subsidiaries (Plan). In support of its objection Becker states as follows: 1. On May 17, 2005, Debtors filed their voluntary petitions for relief under chapter

11 of the Bankruptcy Code. 2. On January 24, 2007, Debtors filed their Amended Disclosure Statement for the

1 The Debtors in the proposed jointly administered cases include: Collins & Aikman Corporation; Amco Convertible Fabrics, Inc.; Becker Group, LLC (d/b/a Collins & Aikman Premier Mold); Brut Plastics, Inc.; Collins & Aikman (Gibraltar) Limited; Collins & Aikman Accessory Mats, Inc. (f/k/a the Akro Corporation); Collins & Aikman Asset Services, Inc.; Collins & Aikman Automotive (Argentina), Inc. (f/k/a Textron Automotive (Argentina), Inc.); Collins & Aikman Automotive (Asia), Inc. (f/k/a Textron Automotive (Asia), Inc.); Collins & Aikman Automotive Exteriors, Inc. (f/k/a Textron Automotive Exteriors, Inc.); Collins & Aikman Automotive Interiors, Inc. (f/k/a Textron Automotive Interiors, Inc.); Collins & Aikman Automotive International, Inc.; Collins & Aikman Automotive International Services, Inc. (f/k/a Textron Automotive International Services, Inc.); Collins & Aikman Automotive Mats, LLC; Collins & Aikman Automotive Overseas Investment, Inc. (f/k/a Textron Automotive Overseas Investment, Inc.); Collins & Aikman Automotive Services, LLC; Collins & Aikman Canada Domestic Holding Company; Collins & Aikman Carpet & Acoustics (MI), Inc.; Collins & Aikman Carpet & Acoustics (TN), Inc.; Collins & Aikman Development Company; Collins & Aikman Europe, Inc.; Collins & Aikman Fabrics, Inc. (d/b/a Joan Automotive Industries, Inc.); Collins & Aikman Intellimold, Inc. (d/b/a M&C Advanced Processes, Inc.); Collins & Aikman Interiors, Inc.; Collins & Aikman International Corporation; Collins & Aikman Plastics, Inc.; Collins & Aikman Products Co.; Collins & Aikman Properties, Inc.; Comet Acoustics, Inc.; CW Management Corporation; Dura Convertible Systems, Inc.; Gamble Development Company; JPS Automotive, Inc. (d/b/a PACJ, Inc.); New Baltimore Holdings, LLC; Owosso Thermal Forming, LLC; Southwest Laminates, Inc. (d/b/a

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Plan, which this Court approved on February 9, 2007. 3. Becker is a party to the following leases of nonresidential real property under

which Becker leases real property to certain Debtors (collectively, the Becker Leases): Landlord Becker Properties, LLC Anchor Court, LLC 4. 5. Premises 6600 East Fifteen Mile Road, Sterling Heights, Michigan 1601 Clark Road, Havre de Grace, Maryland 47785 West Anchor Court, Plymouth, Michigan

Debtors have not yet assumed or rejected the Becker Leases. The Plan provides that Unexpired Leases (as defined in the Plan) will be either

assumed and assigned or rejected. (See Plan, Article V). The Becker Leases are Unexpired Leases. The Unexpired Leases to be assumed and assigned by Debtors are listed on Exhibit E to the Plan. The Unexpired Leases to be rejected by Debtors are listed on Exhibit F to the Plan. 6. The Plan states that Exhibits E and F will be available for review no later than 10

days before the Confirmation Hearing, which is a date that is after the deadline for filing objections to the Plan. 7. Because Becker does not know whether the Becker Leases will be listed on either

Exhibit E (to be assumed) or F (to be rejected) to the Plan, Becker is unable to determine whether it opposes the proposed relief. Becker reserves its rights to raise further objections, including but not limited to the right to object to any proposed cure amount once Debtor discloses its Exhibits to the Plan.

Southwest Fabric Laminators Inc.); Wickes Asset Management, Inc.; and Wickes Manufacturing Company.

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Further, in order for the Plan to be confirmed, the Plan must satisfy all of the

requirements of Section 1129 of the Bankruptcy Code. 9. Section 1129(a)(1) of the Bankruptcy Code provides that the Plan must comply

with the applicable provisions of [the Bankruptcy Code]. 10. The injunction contained in Article XII. E. of the Plan prohibits all holders of

claims from asserting a setoff, right of subrogation, or recoupment of any kind against any debt, liabilities or obligation due to the Debtors or any Trust. This injunction eliminates the setoff rights of creditors without compensation (or the indubitable equivalent that is required under Section 1129(b)(2)(A)(iii)). Such injunction is contrary to the state law rights of holders of claims preserved by the Bankruptcy Code under Section 553(a) and the treatment of creditors under the various classes should not be read to eliminate or limit those rights. This provision of the injunction should be stricken. 11. Because the Plan violates the setoff rights preserved in Section 553(a) of the

Bankruptcy Code, the Plan does not satisfy the requirement of Section 1129(a)(1) of the Bankruptcy Code. confirmation. RELIEF REQUESTED Becker requests entry of an Order denying the confirmation of the Plan and granting other relief as this Court determines. BODMAN LLP By: 3
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Therefore, the Plan cannot be confirmed and the Court should deny

/s/ Robert J. Diehl, Jr.

Robert J. Diehl, Jr. (P31264) Ralph E. McDowell (P39235) 6th Floor at Ford Field 1901 St. Antoine Street Detroit, Michigan 48226 Telephone: (313) 259-7777 Facsimile: (313) 393-7579 rdiehl@bodmanllp.com Attorneys for Becker Properties, L.L.C. and Anchor Court, L.L.C. Dated: May 7, 2007

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