EX-99 3 tower8k_063005-ex99.htm Tower Automotive, Inc. Form 8-K -- Exhibit 99.1

Exhibit 99.1

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK
IN RE. TOWER AUTOMOTIVE, INC., ET. AL.

DEBTOR(S)
TOWER AUTOMOTIVE, INC., ET.AL. 1
CASE NO. 05-10578 (ALG)
(JOINTLY ADMINISTERED)
CHAPTER 11

FOURTH MONTHLY OPERATING STATEMENT FOR
THE MONTH ENDING MAY 31, 2005

DEBTORS ADDRESS:
27175 HAGGERTY ROAD
NOVI, MICHIGAN 48377

MONTHLY DISBURSEMENTS: $217,695,534

DEBTORS’ ATTORNEY:
JAMES H.M. SPRAYREGEN, P.C. (JS-7757)
MATHEW A. CANTOR (MC-7727)
KIRKLAND & ELLIS LLP
CITIGROUP CENTER
153 EAST 53RD STREET
NEW YORK, NEW YORK 10022-4675
TELEPHONE: (212) 446-4800
FACSIMILE: (212) 446-4900

-AND-

ANUP SATHY (AS-4915)
KIRKLAND & ELLIS LLP
200 EAST RANDOLPH DRIVE
CHICAGO, ILLINOIS 60601
TELEPHONE: (312) 861-2000
FACSIMILE: (312) 861-2200

MONTHLY OPERATING PROFIT (LOSS): $(17,733,000)

REPORT PREPARER:
CHRISTOPHER T. HATTO
CORPORATE CONTROLLER
TOWER AUTOMOTIVE, INC.

The undersigned, having reviewed the attached report and being familiar with the Debtors’ financial affairs, verifies under the penalty of perjury, that the information contained therein is complete, accurate and truthful to the best of my knowledge.

DATE: JUNE 30, 2005           S/ JAMES A MALLAK                                                                
                                                     JAMES A. MALLAK, CHIEF FINANCIAL OFFICER AND TREASURER

1 The Debtors in these jointly administered proceedings are: Tower Automotive, Inc.; Algoods, USA, Inc.; R.J. Tower Corporation; Tower Automotive Bardstown, Inc.; Tower Automotive Bowling Green, LLC; Tower Automotive Chicago, LLC; Tower Automotive Finance, Inc.; Tower Automotive Granite City, LLC; Tower Automotive Granite City Services, LLC; Tower Automotive International, Inc.; Tower Automotive International Holdings, Inc.; Tower Automotive International Yorozu Holdings, Inc.; Tower Automotive Lansing, LLC; Tower Automotive Madison, LLC; Tower Automotive Michigan, LLC; Tower Automotive Milwaukee, LLC; Tower Automotive Plymouth, Inc.; Tower Automotive Products Company, Inc.; Tower Automotive Receivables Company, Inc.; Tower Automotive Services and Technology, LLC; Tower Automotive Technology, Inc.; Tower Automotive Technology Products, Inc.; Tower Automotive Tool, LLC; Tower Services, Inc.; and Trylon Corporation.


TOWER AUTOMOTIVE, INC.
INDEX TO MONTHLY OPERATING REPORT

Description Page(s)
Notes   1- 3
Consolidated Debtors in Possession Statement of Operations for the month ended May 31, 2005  4  
Consolidated Debtors in Possession Balance Sheet as of April 30, 2005 and May 31, 2005  5  
Consolidated Debtors in Possession Statement of Cash Flows (indirect method) for the month ended May 31, 2005  6  
Consolidated Debtors in Possession Liabilities Subject to Compromise as of May 31, 2005  7  
Consolidated Debtors in Possession certification regarding payroll, sales, use and property taxes for the month ended May 31, 2005  8  
Detail of Payroll Taxes Withheld and Paid  8- 13
Statement regarding insurance policies  13  
Debtors in Possession disbursements for the month ended May 31, 2005  14  



United States Bankruptcy Court for the Southern District of New York
In re: Tower Automotive, Inc., et.al.
Case No.: 05 B 10578 (ALG)



TOWER AUTOMOTIVE, INC.
MONTHLY OPERATING REPORT, MAY 2005

NOTES TO MONTHLY OPERATING REPORT

General
The unaudited financial statements and supplemental information contained herein, represents the consolidated financial information for the debtors only and does not include Tower Automotive, Inc.‘s non-debtor subsidiaries. The Debtors are:

Tower Automotive, Inc. (the Company)
Algoods, USA, inc.
RJ Tower Corporation
Tower Automotive Bardstown, Inc.
Tower Automotive Bowling Green, LLC
Tower Automotive Chicago, LLC
Tower Automotive Finance, Inc.
Tower Automotive Granite City, LLC
Tower Automotive Granite City Services, LLC
Tower Automotive International, Inc.
Tower Automotive International Holdings, Inc.
Tower Automotive International Yorozu Holdings, Inc.
Tower Automotive Lansing, LLC
Tower Automotive Madison, LLC
Tower Automotive Michigan, LLC
Tower Automotive Milwaukee, LLC
Tower Automotive Plymouth, Inc.
Tower Automotive Products Company, Inc.
Tower Automotive Receivables Company, Inc.
Tower Automotive Services and Technology, LLC
Tower Automotive, s.r.o.
Tower Automotive Technology, Inc.
Tower Automotive Technology Products, Inc.
Tower Automotive Tool, LLC
Tower Services, Inc.
Trylon Corporation d/b/a Tower Automotive

The information furnished in this report includes primarily normal recurring adjustments and reflects all adjustments which are, in the opinion of management, necessary for a fair presentation of such financial information. Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to the requirements of Accounting Principles Board Opinion No. 28 – “Interim Financial Reporting” and should be read in conjunction with the audited financial statements and notes thereto included in the Company’s annual Report on Form 10-K for the year ended December 31, 2003.

The results of operations reflected in this report are not necessarily indicative of the results of operations of Tower Automotive, Inc. and all of its subsidiaries on a consolidated basis, as the consolidated financial statements include both debtors and non-debtors. Please refer to Tower Automotive, Inc.‘s Forms 8-K, 10-K and 10-Q as filed with the United States Securities and Exchange Commission for further information.

Chapter 11 Reorganization Proceedings
On February 2, 2005, Tower Automotive, Inc. and its United States subsidiaries (“Debtors”) filed a voluntary petition for relief under Chapter 11 of the United States Bankruptcy Code (“Bankruptcy Code”) in the United States Bankruptcy Court Southern District of New York (“the “Court”). The cases were consolidated for the purpose of joint administration. The Debtors are operating their businesses as debtors-in-possession (“DIP”) pursuant to the Bankruptcy Code. An official committee of unsecured creditors has been appointed.

Pursuant to the provisions of the Bankruptcy Code, all actions to collect upon any of the Debtors’ liabilities as of the petition date or to enforce pre-petition date contractual obligations are automatically stayed. Absent approval from the Court, the Debtors are prohibited from paying pre-petition obligations. In addition, as a consequence of the Chapter 11 filing, pending litigation against the Debtors is generally stayed, and no party may take any action to collect pre-petition claims except pursuant to an order of the Court. However, the Debtors have requested that the Court approve certain pre-petition liabilities, such as payments for the retention of certain legal and financial professionals, employee wages and benefits and certain other pre-petition obligations. Since the filing, all orders sufficient to enable the Debtors to conduct normal business activities, including approval of the Debtors’ DIP financing have been entered by

United States Bankruptcy Court for the Southern District of New York
In re: Tower Automotive, Inc., et.al.
Case No.: 05 B 10578 (ALG)

-Page 1-


TOWER AUTOMOTIVE, INC.
MONTHLY OPERATING REPORT, MAY 2005

NOTES TO MONTHLY OPERATING REPORT (CONTINUED)

the Court. While the Debtors are subject to Chapter 11, all transactions of the Debtors outside the ordinary course of business will require the prior approval of the Court.

The provisions in Statement of Position 90-7, “Financial Reporting by Entities in Reorganization Under the Bankruptcy Code (“SOP 90-7”) apply to the Debtors’ financial statements while the Debtors operate under the provisions of Chapter 11. SOP 90-7 does not change the application of generally accepted accounting principles in the preparation of financial statements. However, SOP 90-7 does require that the financial statements for periods including and subsequent to the filing of the Chapter 11 petition distinguish transactions and events that are directly associated with the reorganization from the ongoing operations of the business.

Petition Date Financial Information
The financial information filed as of the petition date is subject to change. Tower Automotive may, at a future date, amend its schedules for updated financial information.

Intercompany Transactions
Intercompany transactions between the Debtors have been eliminated in this financial information. Intercompany transactions with the Company’s non-debtor subsidiaries have not been eliminated in these financial statements and are reflected as intercompany receivables and payables.

Income Taxes
Tower Automotive accounts for income taxes on a consolidated basis. Accordingly, income tax expense/benefit and income tax assets and liabilities in the accompanying statements of operations and balance sheets, respectively, do not necessarily reflect the entities current income tax position for the periods presented.

DIP Financing
In February 2005, the Court approved a Revolving Credit, Term Loan and Guaranty Agreement (“DIP Agreement”) with a national banking institution as agent for the lenders (“Lenders”) and each of the Lenders.

The DIP Agreement provides for a $725 million commitment of debtor-in-possession financing comprised of a revolving credit and letter of credit facility in an aggregate principal amount not to exceed $300 million and a term loan in the aggregate principal amount of $425 million. The proceeds of the term loan have been used to refinance the Debtors’ obligation amounting to $425 million under the Credit Agreement. The proceeds of the revolving credit loans shall be used to fund the working capital requirements of the Debtors during the Chapter 11 proceedings. Obligations under the DIP Agreement are secured by a lien on the assets of the Debtors (which lien shall have first priority with respect to a significant portion of the Debtors’ assets) and by a super-priority administrative expense claim in each of the bankruptcy cases.

Advances under the DIP Agreement will bear interest at a fixed rate per annum equal to (x) the greatest (as of the date the advance is made) of the prime rate, the Base CD Rate (as defined in the DIP Agreement) plus 1%, or the Federal Funds Effective Rate (as defined in the DIP Agreement) plus 0.5%, plus (y) 1.75%, in the case of a loan under the revolving facility, or 2.75% in the case of the term loan. Alternatively, the Debtors may request that advances be made at a variable rate equal to (x) the Adjusted LIBO Rate (as defined in the DIP Agreement), for a one-month, three-month, six-month, or nine-month period, at the election of Debtors, plus (y) 2.75%, in the case of a loan under the revolving facility, or 3.75% in the case of the term loan. In addition, the DIP Agreement obligates the Debtors to pay certain fees to the Lenders as described in the DIP Agreement.


United States Bankruptcy Court for the Southern District of New York
In re: Tower Automotive, Inc., et.al.
Case No.: 05 B 10578 (ALG)

-Page 2-


TOWER AUTOMOTIVE, INC.
MONTHLY OPERATING REPORT, MAY 2005

NOTES TO MONTHLY OPERATING REPORT (CONTINUED)

The DIP Agreement contains various representations, warranties and covenants by the Debtors that are customary for transactions of this nature, including (without limitation) reporting requirements and maintenance of financial covenants.

The Debtors’ obligations under the DIP Agreement may be accelerated following certain events of default, including (without limitation) any breach by the Debtors of any of the representations, warranties, or covenants made in the DIP Agreement or the conversion of any of the bankruptcy cases to a case under Chapter 7 of the Bankruptcy Code or the appointment of a trustee pursuant to Chapter 7 of the Bankruptcy Code.

The DIP Agreement matures on February 7, 2007; however, the Debtors are obligated to repay all borrowings made pursuant to the DIP Agreement upon substantial consummation of a plan of reorganization of the Debtors that is confirmed pursuant to an order of the Bankruptcy Court.


United States Bankruptcy Court for the Southern District of New York
In re: Tower Automotive, Inc., et.al.
Case No.: 05 B 10578 (ALG)

-Page 3-


TOWER AUTOMOTIVE, INC.
MONTHLY OPERATING REPORT, MAY 2005

CONSOLIDATED DEBTORS IN POSSESSION
STATEMENTS OF OPERATIONS
(Amounts in thousands of U.S. dollars — unaudited)

May 1, 2005 to
May 31, 2005

Revenues     $ 177,894  
Cost of sales    170,223  

  Gross profit    7,671  
   
Selling, general and administrative expenses    9,421  
Restructuring and asset impairment charges, net    271  

  Operating income (loss)    (2,021 )
   
Interest expense    6,342  
Interest income    (1,916 )
Chapter 11 and related reorganization items    8,916  

  Income (loss) before provision for income taxes, equity in
   earnings of joint ventures and minority interest
    (15,363 )
Provision (benefit) for income taxes    2,373  

  Income (loss) before equity in earnings of joint ventures
   and minority interest
    (17,736 )
Equity in earnings of joint ventures, net of tax    3

   Net loss   $ (17,733 )

The accompanying notes are an integral part of this financial information.


United States Bankruptcy Court for the Southern District of New York
In re: Tower Automotive, Inc., et.al.
Case No.: 05 B 10578 (ALG)

-Page 4-


TOWER AUTOMOTIVE, INC.
MONTHLY OPERATING REPORT, MAY 2005

CONSOLIDATED DEBTORS IN POSSESSION
CONSOLIDATED BALANCE SHEETS
(Amounts in thousands of U.S. dollars — unaudited)

April 30, 2005 May 31, 2005


Current Assets:            
  Cash and cash equivalents   $ 569   $ 2,858  
  Accounts receivable, net    285,987    263,547  
  Inventories    87,887    86,135  
  Prepaid tooling and other    41,180    43,569  


     Total current assets    415,623    396,109  
   
Property, plant and equipment, net    638,436    630,622  
Investments in joint ventures    3    6  
Investment in subsidiaries    346,782    346,782  
Inter-company receivables    411,686    402,794  
Goodwill    326,309    326,309  
Other assets, net    107,482    106,248  


Total assets   $ 2,246,321   $ 2,208,870  


Current Liabilities Not Subject to Compromise:  
  Current maturities of long-term debt and capital  
  lease obligations   $ 3,127   $ 3,127  
  Accounts payable    116,308    107,214  
  Accrued liabilities    215,568    211,967  


      Total current liabilities    335,003    322,308  
   
Liabilities subject to compromise    1,127,243    1,126,511  
   
Non-Current Liabilities Not Subject to Compromise:  
  Long-term debt, net of current maturities    57,124    57,121  
  Debtor-in-possession borrowings, net of current  
  maturities    512,286    518,288  
Other non-current liabilities    183,287    183,088  


  Total liabilities    2,214,943    2,207,316  
   
  Stockholders' Equity    31,378    1,554  


Total liabilities and stockholders' equity   $ 2,246,321   $ 2,208,870  


The accompanying notes are an integral part of this financial information.

United States Bankruptcy Court for the Southern District of New York
In re: Tower Automotive, Inc., et.al.
Case No.: 05 B 10578 (ALG)

-Page 5-


TOWER AUTOMOTIVE, INC.
MONTHLY OPERATING REPORT, MAY 2005

CONSOLIDATED DEBTORS IN POSSESSION
CONSOLIDATED STATEMENTS OF CASH FLOWS
Amounts in thousands of U.S. Dollars — unaudited)

Period from
May 1, 2005 to
May 31, 2005

Operating Activities:        
  Net loss   $ (17,733 )
  Adjustments required to reconcile net loss to net  
   cash provided by (used in) operating activities:  
   Chapter 11 and related reorganization expenses    8,916  
   Payments of Chapter 11 and related reorganization  
     expenses    (5,314 )
   Depreciation    9,808  
   Deferred compensation    74  
   Equity in income of joint ventures, net    (3 )
   Change in working capital and other operating items    1,517  

     Net cash provided by operating activities    (2,735 )

Investing Activities:  
  Capital expenditures    (975 )
  Proceeds from sale of fixed assets    -  
  Other    -  

      Net cash used in investing activities    (975 )

Financing Activities:  
  Proceeds from pre-petition borrowings    -  
  Repayments of pre-petition borrowings    -  
  Borrowings from DIP credit facility    89,000  
  Repayments of borrowings from DIP credit facility    (83,001 )
  Net proceeds from issuance of common stock    -  

      Net cash provided by (used in) financing activities    5,999  

   
Net Change in Cash and Cash Equivalents   $ 2,289  

   
Cash and Cash Equivalents, beginning of period   $ 569  
Cash and Cash Equivalents, end of period   $ 2,858  

The accompanying notes are an integral part of this financial information.


United States Bankruptcy Court for the Southern District of New York
In re: Tower Automotive, Inc., et.al.
Case No.: 05 B 10578 (ALG)

-Page 6-


TOWER AUTOMOTIVE, INC.
MONTHLY OPERATING REPORT, MAY 2005

CONSOLIDATED DEBTORS IN POSSESSION
LIABILITIES SUBJECT TO COMPROMISE
(Amounts in thousands of U.S. Dollars — unaudited)

May 31, 2005

Liabilities subject to compromise:        
Debt:  
    5.75% Convertible senior debentures   $ 125,000  
    6.75% Trust convertible preferred securities    258,750  
    9.25% Senior Euro notes    195,555  
    12% Senior notes    258,000  

Total debt    837,305  
Pre-petition accounts payable    242,646  
Accrued interest on debt subject to compromise    21,178  
Accrued liabilities    3,932  
Property and other taxes    403  
Leases    4,684  
Intercompany payable balances to non-Debtor subsidiaries    16,363  

Total liabilities subject to compromise   $ 1,126,511  

The accompanying notes are an integral part of this financial information.


United States Bankruptcy Court for the Southern District of New York
In re: Tower Automotive, Inc., et.al.
Case No.: 05 B 10578 (ALG)

-Page 7-


TOWER AUTOMOTIVE, INC.
MONTHLY OPERATING REPORT, MAY 2005

TAX PAYMENT CERTIFICATION
Tower Automotive’s US subsidiaries and Debtors have paid post petition tax payments as due. Tax bills which straddle the bankruptcy filing date have been split and accrued separately as pre petition and post petitions amounts. The post petition amounts have been paid. Sales and payroll taxes for both pre petition and post petition periods have been paid in accordance with the Debtors’ first day motions.

Any exceptions to this certification (amounts under dispute, ongoing audits for post petition periods etc.) are listed below.

We are currently under audit by several states for sales and use tax. Such audits may result in additional amounts due to various state agencies for sales and use tax. However, it is not possible to predict the outcome of such audits at the date of this report.

Payroll Taxes withheld and paid
All payroll taxes have been paid when due. Amounts shown as not paid (differences) are not due as of the date of this information or reflect payments of taxes withheld in previous periods, which became due in the current period. We periodically withhold and remit payroll taxes in various other state and local jurisdictions which are not listed in this schedule as no amounts were withheld or due during the period.

Federal Income Tax Withholding        
            Taxes   $ 3,393,398.74  
Social Security - employee  
            Taxes   $ 1,588,462.42  
Social Security - employer  
            Taxes   $ 1,588,465.56  
Medicare - employee  
            Taxes   $ 390,328.52  
Medicare - employer  
            Taxes   $ 390,329.27  
            Total Taxes Withheld   $ 7,350,984.51  
            Paid   $ 7,350,984.51  
            Difference   $ -  
FUTA  
            Taxes   $ 7,079.35  
            Paid   $ -  
            Difference   $ 7,079.35
Illinois Unemployment Insurance  
            Taxes   $20,047.03  
            Paid   $ -  
            Difference   $ 20,047.03

United States Bankruptcy Court for the Southern District of New York
In re: Tower Automotive, Inc., et.al.
Case No.: 05 B 10578 (ALG)

-Page 8-


TOWER AUTOMOTIVE, INC.
MONTHLY OPERATING REPORT, MAY 2005

Payroll Taxes withheld and paid (continued)

Illinois Withholding  
  Taxes   $ 82,729.80  
  Paid   $ 82,729.80  
  Difference    -  
Indiana Unemployment Insurance  
  Taxes   $ 5,369.51  
  Paid   $-  
  Difference   $ 5,369.51
Indiana Withholding (also local withholdings)  
  Taxes   $ 125,601.99  
  Paid   $ 125,601.99  
  Difference   $ -  
Kentucky Unemployment Insurance  
  Taxes   $ 1,238.89  
  Paid   $ -  
  Difference   $ 1,238.89
Kentucky Withholding  
  Taxes   $ 31,450.32  
  Paid   $ 31,450.32  
  Difference    -  
Kentucky, Bardstown  
  Taxes   $ 4,926.29  
  Paid   $ 4,926.29  
  Difference    $-  
Kentucky, Bowling Green  
  Taxes   $ 670.84  
  Paid   $ 670.84  
  Difference   $-  
Kentucky, Nelson County
  Taxes   $ 3,301.96  
  Paid   $ 3,301.96  
  Difference   $-  

United States Bankruptcy Court for the Southern District of New York
In re: Tower Automotive, Inc., et.al.
Case No.: 05 B 10578 (ALG)

-Page 9-


TOWER AUTOMOTIVE, INC.
MONTHLY OPERATING REPORT, MAY 2005

Payroll Taxes withheld and paid (continued)


Kentucky, Warren County School District
       
  Taxes   $ 52.70  
  Paid   $ -  
  Difference   $ 52.70
Kentucky, KREDA  
  Taxes   $ 65,713.24  
  Paid   $ 65,713.24  
  Difference   $-  
Maryland Withholding  
  Taxes   $ 4,683.83  
  Paid   $ 4,683.83  
  Difference   $ -
Michigan Unemployment Insurance  
  Taxes   $ 38,523.99  
  Paid   $ -  
  Difference   $38,523.99  
Michigan Withholding  
  Taxes   $ 431,738.48  
  Paid   $ 431,738.48  
  Difference    -  
Michigan, Detroit  
  Taxes   $ 8,470.97  
  Paid   $ 8,470.97  
  Difference   $ -  
Michigan, Grand Rapids  
  Taxes   $ 2,537.85  
  Paid   $ 2,537.85  
  Difference   $ -
Michigan, Pontiac  
  Taxes   $ 58.38  
  Paid   $ 58.38  
  Difference    $-  

United States Bankruptcy Court for the Southern District of New York
In re: Tower Automotive, Inc., et.al.
Case No.: 05 B 10578 (ALG)

-Page 10-


TOWER AUTOMOTIVE, INC.
MONTHLY OPERATING REPORT, MAY 2005

Payroll Taxes withheld and paid (continued)

Michigan, Port Huron        
  Taxes   $ 79.83  
  Paid   $ -  
  Difference   $ 79.83
Missouri Withholding  
  Taxes   $ 20.00  
  Paid   $ 20.00  
  Difference    $-  
Mississippi Unemployment Insurance  
  Taxes   $ 308.96
  Paid   $ -  
  Difference   $ 308.96
Mississippi Withholding  
  Taxes   $ 17,499.00  
  Paid   $ 17,499.00  
  Difference    $-  
Ohio School Districts  
  Taxes   $ 8,511.79  
  Paid   $ 8,511.79  
  Difference    $-  
Ohio Unemployment Insurance  
 Taxes   $ 1,762.61  
 Paid   $ -  
 Difference   $ 1,762.61
Ohio Withholding  
 Taxes   $ 70,279.77  
 Paid   $ 70,279.77  
 Difference   $-  
Ohio, Bellevue  
 Taxes   $ 6,740.52  
 Paid   $ -  
 Difference   $ 6,740.52

United States Bankruptcy Court for the Southern District of New York
In re: Tower Automotive, Inc., et.al.
Case No.: 05 B 10578 (ALG)

-Page 11-


TOWER AUTOMOTIVE, INC.
MONTHLY OPERATING REPORT, MAY 2005

Payroll Taxes withheld and paid (continued)

Ohio Bluffton        
 Taxes   $ 9,673.31  
 Paid   $ -  
 Difference   $ 9,673.31
Ohio, Toledo  
 Taxes   $ 76.03  
 Paid   $ 76.03  
 Difference   $-  
Ohio, Carey  
 Taxes   $ 71.85  
 Paid   $ -  
 Difference   $ 71.85
Ohio, Tiffin  
 Taxes   $ 40.66  
 Paid   $ 40.66  
 Difference    $-  
Ohio, Fostoria  
 Taxes   $ 34.14  
 Paid   $ 34.14  
 Difference   $-  
Ohio, Upper Sandusky  
 Taxes   $ 4,958.04  
 Paid   $ -  
 Difference   $ 4,958.04
Ohio, Hicksville  
 Taxes   $ 161.78  
 Paid   $ -  
 Difference   $ 161.78
Pennsylvania Withholding  
 Taxes   $ 233.43  
 Paid   $ 233.43  
 Difference    $-  

United States Bankruptcy Court for the Southern District of New York
In re: Tower Automotive, Inc., et.al.
Case No.: 05 B 10578 (ALG)

-Page 12-


TOWER AUTOMOTIVE, INC.
MONTHLY OPERATING REPORT, MAY 2005

Payroll Taxes withheld and paid (continued)

Tennessee Unemployment Insurance        
 Taxes   $ 14,603.87  
 Paid   $ -  
 Difference   $ 14,603.87
Wisconsin Unemployment Insurance  
 Taxes   $ 10,875.72  
 Paid   $ -  
 Difference   $10,875.72
Wisconsin Withholding  
 Taxes   $ 123,349.86  
 Paid   $ 123,349.86  
 Difference    $-  

STATEMENT REGARDING INSURANCE POLICES
All insurance policies for the Debtors have been fully paid for the period covered by this report, including workers’ compensation and disability insurance. There have been no changes in the amount of insurance in force from the amounts previously provided.




United States Bankruptcy Court for the Southern District of New York
In re: Tower Automotive, Inc., et.al.
Case No.: 05 B 10578 (ALG)

-Page 13-


TOWER AUTOMOTIVE, INC.
MONTHLY OPERATING REPORT, MAY 2005

DISBURSEMENTS FOR THE MONTH ENDED MAY 31, 2005

Legal Entity Monthly Disbursements

Tower Automotive, Inc.     $ 0  
Algoods, USA, Inc.   $ 0  
RJ Tower Corporation   $ 4,544,732  
Tower Automotive Bardstown, Inc.   $ 14,140,267  
Tower Automotive Bowling Green, LLC   $ 542,778  
Tower Automotive Chicago, LLC   $ 19,641.184  
Tower Automotive Finance, Inc.   $ 0  
Tower Automotive Granite City, LLC   $ 9,511,190  
Tower Automotive Granite City Services, LLC   $ 2,592,149  
Tower Automotive International, Inc.   $ 1,413  
Tower Automotive International Holdings, Inc.   $ 0  
Tower Automotive International Yorozu Holdings, Inc.   $ 0  
Tower Automotive Lansing, LLC   $ 28,678,487  
Tower Automotive Madison, LLC   $ 0  
Tower Automotive Michigan, LLC   $ 7,224,454  
Tower Automotive Milwaukee, LLC   $ 27,962,114  
Tower Automotive Plymouth, Inc.   $ 6,187,721  
Tower Automotive Products Company, Inc.   $ 47,978,193  
Tower Automotive Receivables Company, Inc.   $ 0  
Tower Automotive Services and Technology, LLC   $ 0  
Tower Automotive, s.r.o   $ 0  
Tower Automotive Technology, Inc.   $ 11,807,506  
Tower Automotive Technology Products, Inc   $ 3,745  
Tower Automotive Tool, LLC   $ 28,985,059  
Tower Services, Inc.   $ 1,877,898  
Trylon Corporation d/b/a/ Tower Automotive   $ 6,016,645  

               Total Disbursements   $ 217,695,534  

United States Bankruptcy Court for the Southern District of New York
In re: Tower Automotive, Inc., et.al.
Case No.: 05 B 10578 (ALG)

-Page 14-