Hayes Lemmerz International, Inc. Reports Strong Operating Performance in Third Quarter

Hayes Lemmerz International, Inc. Reports Strong Operating Performance in Third
Quarter 


NORTHVILLE, Mich., Dec. 10  /PRNewswire-FirstCall/ -- Hayes Lemmerz
International, Inc.  today reported financial results for the three months ended
October 31, 2003.  The Company said that earnings from operations totaled $13.9
million for the quarter, with gross profits remaining consistent in the three
months ended October 31, 2003, as compared to the same period in 2002, despite
the impact of increased depreciation expense and lower OEM production
requirements.

(Logo:  http://www.newscom.com/cgi-bin/prnh/20010522/HLILOGO )

"Our significant ongoing cost-cutting measures, along with improved productivity
and plant rationalization programs, have produced improvements in operating
efficiencies that have positioned us well in the marketplace," said James Yost,
Vice President of Finance and Chief Financial Officer.  Net sales for the three
month period totaled $530.9 million, compared to $535.4 million for the
comparable period in 2002. The Company reported a net loss of $10.0 million, or
$0.33 per share, compared to net income of $3.7 million for the comparable three
months in 2002.

The net loss for the quarter includes asset impairment losses of $19.6 million
related to the write-down of certain building, machinery and equipment and
production tooling at the Company's facilities in La Mirada, California,
Gainesville, Georgia, and Wabash, Indiana.

Mr. Yost noted that liquidity continues to be strong with cash of $109.0
million, along with $77.5 million available on the Company's revolving credit
agreement.

"We remain focused on pursuing the Company's goal of satisfying our customers
and becoming the low-cost producer, with the best people in our industry," Mr.
Yost concluded.

Hayes Lemmerz will host a telephone conference call to discuss the Company's
2003 second quarter financial results today, Wednesday, December 10, 2003, at
9:30 a.m. (ET).  To participate by phone, please dial 10 minutes prior to the
call: [phone] from the United States and Canada; or [phone] from
outside the United States.  Callers should ask to be connected to Hayes Lemmerz
earnings conference call, Conference ID#3959172. The conference call will be
accompanied by a slide presentation, which can be accessed through the Company's
web site in the Investor Kit/ presentations section at
http://www.hayes-lemmerz.com/investor_kit/html/presentations.html.

Hayes Lemmerz International, Inc. is a leading global supplier of automotive and
commercial highway wheels, brakes, powertrain, suspension, structural and other
lightweight components. The Company has 43 plants, 2 joint venture facilities
and approximately 11,000 employees worldwide.

More information about Hayes Lemmerz International, Inc. is available at our
website which is http://www.hayes-lemmerz.com/.

This press release includes forward looking statements within the meaning of
Section 27A of the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934, as amended, which represent the Company's expectations and
beliefs concerning future events that involve risks and uncertainties which
could cause actual results to differ materially from those currently
anticipated.  All statements other than statements of historical facts included
in this release are forward looking statements.  Factors that could cause actual
results to differ materially from those expressed or implied in such forward
looking statements include the factors set forth in our periodic reports filed
with the SEC.  Consequently, all of the forward looking statements made in this
press release are qualified by these and other factors, risks, and
uncertainties.

            HAYES LEMMERZ INTERNATIONAL, INC. AND SUBSIDIARIES

             CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
               (Millions of dollars, except share amounts)
                               (Unaudited)

                               Successor   Pre-  Successor
                                         decessor            Predecessor
                                 Three    Three    Five               Nine
                                Months   Months   Months     Four    Months
                                 Ended    Ended   Ended     Months    Ended
                                October  October October    Ended    October
                                  31,      31,     31,      May 31,     31,
                                 2003     2002     2003      2003      2002

  Net sales                     $530.9   $535.4   $859.2    $689.8 $1,526.1

  Cost of goods sold             461.6    464.7    760.5     611.3  1,372.1
    Gross profit                  69.3     70.7     98.7      78.5    154.0
  Marketing, general and
   administration                 26.9     23.5     47.6      33.5     74.1
  Engineering and product
   development                     6.2      5.1     10.4       8.1     15.6
  Asset impairments and other
   restructuring
    charges                       19.6     10.0     19.6       6.4     35.3
  Other (income) expense, net      2.7     (1.8)     4.8      (1.9)    (5.5)
  Reorganization items              -       7.0      -        45.0     34.9
  Fresh start accounting
   adjustments                      -        -       -       (63.1)       -
    Earnings (loss) from
     operations                   13.9     26.9     16.3      50.5     (0.4)
  Interest expense, net           16.6     19.0     24.7      22.7     53.7
  Subsidiary preferred stock
   dividends                       0.2       -       0.3         -        -
  Income tax provision             6.1      3.0      8.7      60.3      0.6
  Minority interest                1.0      1.2      1.8       1.2      2.7
  Cumulative effect of change in
   accounting
    principle, net of tax of $0     -        -       -           -   (554.4)
  Extraordinary gain on debt
   discharge, net of tax $0         -        -       -     1,076.7        -

    Net income (loss)           $(10.0)    $3.7   $(19.2) $1,043.0  $(611.8)

  Basic and diluted net loss per
   share                        $(0.33)           $(0.64)


            HAYES LEMMERZ INTERNATIONAL, INC. AND SUBSIDIARIES

                  CONDENSED CONSOLIDATED BALANCE SHEETS
                          (Millions of dollars,
                          except share amounts)

                                                      Successor  Predecessor
                                                        October     January
                                                          31,          31,
                                                         2003         2003
                                                     (Unaudited)
                           ASSETS
  Current assets:
    Cash and cash equivalents                            $109.0       $66.1
    Receivables                                           329.0       276.6
    Inventories                                           180.5       176.6
    Prepaid expenses and other                             16.5        32.5
      Total current assets                                635.0       551.8
  Property, plant and equipment, net                      900.9       951.2
  Goodwill                                                388.8       191.3
  Intangible assets, net                                  226.5       102.6
  Other assets                                             74.3        49.7

      Total assets                                     $2,225.5    $1,846.6

               LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)
  Current liabilities:
    DIP Facility                                         $    -       $49.9
    Bank borrowings and other notes                         1.6        15.8
    Current portion of long-term debt                      11.6        40.1
    Accounts payable and accrued liabilities              356.6       268.7
      Total current liabilities                           369.8       374.5
  Long-term debt, net of current portion                  748.8        61.9
  Pension and other long-term liabilities                 529.5       334.4
  Series A Warrants and Series B Warrants                   6.7         -
  Redeemable preferred stock of subsidiary                 10.3         -
  Minority interest                                        14.5        16.4
  Liabilities subject to compromise                          -      2,133.8
  Commitments and contingencies

  Total stockholders' equity (deficit)                    545.9    (1,074.4)

      Total liabilities and stockholders'
       equity (deficit)                                $2,225.5    $1,846.6


            HAYES LEMMERZ INTERNATIONAL, INC. AND SUBSIDIARIES

             CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
                          (Millions of dollars)
                               (Unaudited)

                                             Successor      Predecessor
                                               Five                   Nine
                                              Months                 Months
                                               Ended    Four Months   Ended
                                              October      Ended     October
                                                31,       May 31,      31,
                                               2003        2003       2002

  Cash provided by operating activities       $54.5        $31.1     $43.9

  Cash flows from investing activities:
    Purchase of property, plant, equipment
     and tooling                              (41.1)       (26.3)    (69.9)
    Purchase of equipment previously leased    -           (23.6)     -
    Proceeds from sale of assets and
     businesses                                 0.8          0.8       9.1
    Purchase of businesses                     -             -        (7.2)
      Cash used for investing activities      (40.3)       (49.1)    (68.0)

  Cash flows from financing activities:
    Change in borrowings under DIP Facility    -           (49.9)     41.1
    Repayment of note payable                  -            (2.0)     -
    Changes in bank borrowings                (11.9)        (9.8)    (20.1)
    Proceeds from New Senior Notes, net of
     discount and related fees                 -           242.8      -
    Proceeds from New Term Loan, net of
     related fees                              -           436.1      -
    Prepetition Lenders' Payment amount        -          (477.3)     -
    Payment to holders of Old Senior Notes     -           (13.0)     -
    Repayment of long-term debt               (74.0)         -        -
    Repayment of  New Term Loan                (1.1)         -        -
      Cash provided by (used for) financing
       activities                             (87.0)       126.9      21.0
  Effect of exchange rate changes on cash
   and cash equivalents                         2.7          4.1       3.3
    Increase (decrease) in cash and cash
     equivalents                              (70.1)       113.0       0.2
  Cash and cash equivalents at beginning of
   period                                     179.1         66.1      45.2
  Cash and cash equivalents at end of
   period                                    $109.0       $179.1     $45.4

  Supplemental data:
    Cash paid for interest                     10.3          5.8     $12.7
    Cash paid for income taxes                 15.5          2.9      $6.1


http://www.newscom.com/cgi-bin/prnh/20010522/HLILOGO

DATASOURCE: Hayes Lemmerz International, Inc.



CONTACT:  Marika P. Diamond, [phone], Investors - Gary Findling,

[phone], both of Hayes Lemmerz International, Inc.



Web site:  http://www.hayes-lemmerz.com/ 

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