Adelphia Files Fifth Amended Plan of Reorganization and Related Disclosure Statement Supplement

Adelphia Files Fifth Amended Plan of Reorganization and Related Disclosure Statement Supplement

GREENWOOD VILLAGE, Colo., Aug. 18 /PRNewswire-FirstCall/ -- Adelphia Communications Corporation today filed drafts of its Fifth Amended Joint Chapter 11 Plan of Reorganization and the related Supplement to its Fourth Amended Disclosure Statement with the United States Bankruptcy Court for the Southern District of New York. Adelphia and the Official Committee of Unsecured Creditors are co-proponents of the Fifth Amended Plan (except to the extent set forth in the plan), which embodies the framework agreed upon by Adelphia, its Official Committee of Unsecured Creditors, and certain ad hoc committees representing most of Adelphia's major bondholders and trade creditors, as well as significant individual bond funds, and reflects the compromise among these important creditor groups pursuant to which approximately $1.08 billion in value will be transferred from certain unsecured creditors of various Adelphia subsidiaries to certain unsecured senior and trade creditors of the Adelphia Communications parent corporation, subject, in some cases, to reimbursement from contingent sources of value, including the proceeds of a litigation trust to be established under the plan to pursue claims against third-parties that are alleged to have damaged Adelphia.

Adelphia and the Official Committee of Unsecured Creditors are seeking an order of the Bankruptcy Court approving the Supplement to the Disclosure Statement as containing "adequate information" to enable Adelphia's Chapter 11 bankruptcy creditors and equity holders to make an informed judgment about the Fifth Amended Plan. Adelphia's proposal and prosecution of confirmation of the Fifth Amended Plan is subject in all respects to entry of such an order, as well as Bankruptcy Court authorization for Adelphia to propose and seek votes in respect of the Fifth Amended Plan. Absent entry of such an order and authorization, Adelphia's filing of the Fifth Amended Plan and related Supplement to the Disclosure Statement shall not be deemed to be a proposal by the Debtors with respect to the proposed treatment of any claims against equity interests in Adelphia or its subsidiaries. If this order is entered and such authorization is granted, Adelphia and the Official Committee of Unsecured Creditors will begin the process of soliciting creditors and equity holders to vote on the Fifth Amended Plan.

Copies of the Fifth Amended Plan and related Supplement to the Disclosure Statement are available in the investor relations and press room sections of the Adelphia corporate website www.adelphia.com. This press release is not intended to be, nor should it be construed as, a solicitation for a vote on the Fifth Amended Plan.

About Adelphia

Prior to the sale of substantially all of the consolidated assets of Adelphia to Time Warner NY Cable LLC and Comcast Corporation on July 31, 2006 (the "Sale Transaction"), Adelphia Communications Corporation was the fifth largest cable television company in the country. It served customers in 31 states and offered analog and digital video services, high-speed Internet access and other advanced services over its broadband networks.

Cautionary Statement Regarding Forward-Looking Statements

This press release includes forward-looking statements. All statements regarding Adelphia's and its subsidiaries' and affiliates' expected sources and uses of cash, income tax positions, indemnification obligations and any post-closing purchase price adjustments related to the Sale Transaction, settlements with the Securities and Exchange Commission (the "SEC") and the United States Attorney's Office for the Southern District of New York (the "U.S. Attorney") and future course of Adelphia's pending bankruptcy proceeding, as well as statements that include words such as "anticipate," "if," "believe," "plan," "estimate," "expect," "intend," "may," "could," "should," "will" and other similar expressions, are forward-looking statements. Such forward-looking statements are inherently uncertain, and readers must recognize that actual results may differ materially from Adelphia's expectations. Adelphia does not undertake a duty to update such forward-looking statements. Factors that may cause actual results to differ materially from those in the forward-looking statements include the potential costs and impacts of the transactions and obligations associated with the Sale Transaction, whether and on what timetable a plan of reorganization under Chapter 11 of the Bankruptcy Code will be confirmed and consummated, whether the transactions contemplated by the settlements with the SEC and the U.S. Attorney and any other agreements needed to effect those transactions are consummated, Adelphia's pending bankruptcy proceeding, results of litigation against Adelphia, results and impacts of the Sale Transaction and those discussed under Items 1A, "Risk Factors," in Adelphia's Quarterly Report on Form 10-Q for the period ended June 30, 2006 and in the Supplement to Adelphia's Fourth Amended Disclosure Statement, filed with the Bankruptcy Court on August [18], 2006, which is available in the investor relations section of Adelphia's website at www.adelphia.com. Information contained on Adelphia's Internet website is not incorporated by reference into this press release. Many of these factors are outside of Adelphia's control.

Source: Adelphia Communications Corporation

CONTACT: Media, Paul Jacobson, +1-303-268-6426, or Investor Relations,
Mark Spiecker, +1-303-268-6545, both of Adelphia Communications Corporation

Web site: http://www.adelphia.com/

Company News On-Call: http://www.prnewswire.com/comp/010150.html

-------
Profile: intent