EX-99 3 wpstvmarexh99-2.htm MONTHLY OPERATING REPORT FOR MARCH 2004 EXHIBIT 99.2
UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
WestPoint Stevens Inc.	)	CASE NO.	03-13532-RDD

Reporting Period		March 1, 2004 to March 31, 2004

Monthly Operating Report

Required Documents	Schedule Attached
Income Statement	X
Balance Sheet	X
Statement of Cash Flows	X
Schedule of Federal, State, and Local Taxes Collected, Received, Due or Withheld	X

Debtor's Address:	507 West 10^th Street, West Point, GA 31833
Preparer:	Dianne Nolen
Debtor's Attorney:	Weil, Gotshal & Manges LLP

Monthly Disbursements:	$	147,617,737
Monthly Profit (Loss):	$	(11,690,000)

The Debtors' chapter 11 proceedings have been consolidated for administrative purposes only. Because the cases have not been substantively consolidated, the Debtor is required to provide separate financial information for itself, to the extent available. Therefore, the financial information contained in this Monthly Operating Report is not consolidated with the financial information applicable to the Debtor's affiliates, and is not comparable with publicly reported consolidated financial information.

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

All insurance policies are fully paid for the current period, and amounts for workers compensation and disability insurance have been paid.

While every effort has been made to file complete and accurate information, inadvertent errors or omissions may exist. The debtor reserves the right to amend this monthly operating report as necessary and appropriate. All financial information contained herein is unaudited data.

Debtor-In-Possession	WestPoint Stevens Inc.
By:	Lester D. Sears
Its:	Senior Vice President - Finance and Chief Financial Officer
Signature	/s/Lester D. Sears
Date	May 10, 2004

INCOME STATEMENT

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
WestPoint Stevens Inc.	)	CASE NO.	03-13532-RDD

Reporting Period		March 1, 2004 to March 31, 2004

STATEMENT OF OPERATIONS

(in $ thousands)

Total sales	$ 120,998

Cost of sales	104,323
Gross profit	16,675

Selling and administrative expenses
Selling expense	3,809
Warehousing and shipping	6,023
Advertising	410
Division administrative expense	886
MIS expense	1,508
Corporate administrative expense	1,227
Total selling and administrative expense	13,863

Restructuring and impairment charge	4,813
Goodwill impairment charge	-

Profit / (loss) from operations	(2,001)

Interest expense
Interest expense - outside	5,790
Capitalized interest expense	-
Interest expense - intercompany	178
Interest income	-
Interest income - intercompany	-
Net interest expense	5,968

Other expense
Miscellaneous	1,161
Royalties - intercompany	3,700
Transaction gain/loss	-
Total other expense	4,861

Other income
Royalties - intercompany	-
Dividends	-
Sale of assets	(2)
Miscellaneous	7
Total other income	5
Net other expense	4,856

Income (loss) before Chapter 11 reorganization expenses
and income taxes (benefit) and extraordinary items	(12,825)

Chapter 11 reorganization expenses	4,609

Income taxes (benefit)	(5,744)

Income (loss) before extraordinary item	(11,690)

Extraordinary item - net of taxes	-

Net income (loss)	$ (11,690)

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
WestPoint Stevens Inc.	)	CASE NO.	03-13532-RDD

Reporting Period		March 1, 2004 to March 31, 2004

BALANCE SHEET

(in $ thousands)

ASSETS			LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIT)
Current Assets			Liabilities Not Subject to Compromise:
	Cash and cash equivalents	$ 1,686		Senior Credit Facility	$ 445,000
	Short-term investments	-		DIP Credit Agreement	113,137
	Accounts receivable, net	241,966		Second Lien Facility	165,000
	Total inventories	382,766		Accrued interest payable	5,923
	Prepaid & other current assets	25,987		Accounts payable - trade	59,078
	Total current assets	652,405		Accounts payable - intercompany	143,943
				Other payables and accrued liabilities	121,479
				Deferred income taxes	76,586
				Pension and other liabilities	143,765
Total investments & other assets		127,463		Total liabilities not subject to compromise	1,273,911

Goodwill		-	Liabilities Subject to Compromise:
				Senior Notes	1,000,000
Property, plant and equipment, net		588,236		Deferred financing fees	(6,534)
				Accrued interest payable on Senior Notes	36,130
				Accounts payable	27,094
				Other payables and accrued liabilities	8,238
				Pension and other liabilities	18,849
				Total liabilities subject to compromise	1,083,777

			Total Liabilities		2,357,688

			SHAREHOLDERS' EQUITY (DEFICIT)
				Equity of subsidiaries		(123,757)
				Common stock		711
				Capital Surplus / Treasury Stock		(2,131)
				Retained earnings (deficit)		(752,654)
				Minimum pension liability adjustment		(101,921)
				Other adjustments		(9,832)
				Unearned compensation		-
				Total Shareholders' Equity (Deficit)		(989,584)
TOTAL ASSETS		$ 1,368,104	TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIT)		$1,368,104

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
WestPoint Stevens Inc.	)	CASE NO.	03-13532-RDD

Reporting Period		March 1, 2004 to March 31, 2004

STATEMENT OF CASH FLOWS

(in $ thousands)

Cash Flows from Operations:
Net income (loss)	$ (11,690)
Restructuring
Equity adjustments	(6,345)
Non-cash items
Depreciation and amortization expense	5,168
Working Capital Changes
Decrease / (increase) -- accounts receivable	17,361
Decrease / (increase) -- inventories	(12,216)
Decrease / (increase) -- other current assets	2,637
Decrease / (increase) -- other noncurrent assets	1,620
Increase (decrease) -- accounts payable (trade)	(3,176)
Increase (decrease) -- accounts payable (intercompany)	(506)
Increase (decrease) -- accrued liabilities	17,692
Increase (decrease) -- accrued interest payable	5,318
Increase (decrease) -- pension and other liabilities	908
Increase (decrease) -- deferred federal income tax	(7,550)
Total Cash Flows from Operations	$ 9,221

Cash Flows from Investing
Decrease / (increase) -- short term investments	-
Capital expenditures	(2,155)
Transfers	-
Net proceeds from sale of assets	-
Total Cash Flows from Investing	$ (2,155)

Cash Flows from Financing
Increase / (decrease) -- DIP credit agreement	(5,380)
Total Cash Flows from Financing	$ (5.380)

Beginning Cash Balance	-
Change in Cash	1,686
Ending Cash Balance	$ 1,686

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
WestPoint Stevens Inc.	)	CASE NO.	03-13532-RDD

Reporting Period		March 1, 2004 to March 31, 2004

Supplemental Schedule of Federal, State, and Local Taxes Collected, Received, Due or Withheld

			Amount Withheld/ Collected/ Incurred		Amount Paid	Date of Payment
All wages and salaries paid (gross) or incurred			$ 983,163
Federal
Payroll taxes withheld			6,018,758		1,203,270		03/04/04
					1,327,972		03/11/04
					1,044,843		03/15/04
Employer payroll tax contributions incurred			2,769,312		1,285,545		03/18/04
					1,414,867		03/25/04
					1,046,454		03/31/04
Total Federal Taxes (1)		$ 8,788,070			$ 7,322,951
State and Local
Payroll taxes withheld
	Alabama SIT	$ 472,562			$ 420,551		03/15/04
	Arkansas SIT	907			2,343		03/15/04
	California SIT	1,473			1,875		03/17/04
	Georgia SIT	125,699			138,671		03/15/04
	Illinois SIT	460
	Indiana SIT	12,047			16,124		03/15/04
	Louisiana SIT	3,881			3,574		03/17/04
	Maine SIT	39,022			39,430		03/31/04
	Minnesota SIT	1,514			1,514		03/17/04
	Missouri SIT	408			2,098		03/15/04
	New York SIT	59,799			59,468		03/17/04
	North Carolina SIT	384,836			385,490		03/31/04
	Pennsylvania SIT	164			514		03/15/04
	Rhode Island SIT	144			1,598		03/15/04
	South Carolina SIT	261,260			224,107		03/31/04
	Virginia SIT	52,374			52,081		03/31/04
	Delaware Co IN	313			-
	Hamilton Co IN	101			-
	Henry Co IN	1,096			-
	Johnson Co IN	50			-
	Madison Co IN	1,762			-
	Marion Co IN	35			-
	Washington Co IN	100			-
	Randolph Co IN	81			-
	Yonkers NY	10			10		03/17/04
	New York City	16,075			15,857		03/17/04
	Opelika AL	6,150			-

	Total Payroll taxes	$ 1,442,323			$ 1,365,305
(continued)
Employer payroll tax contributions incurred
	Alabama SUTA	$ 288,358		-
	Arkansas SUTA	215		-
	Florida SUTA	72,369		-
	Georgia SUTA	55,981		-
	Indiana SUTA	12,594		-
	Louisiana SUTA	6,786		-
	Maine SUTA	10,595		-
	Minnesota SUTA	20		-
	Nevada SUTA	7,125		-
	New York SUTA	5,002		-
	North Carolina SUTA	257,828		-
	South Carolina SUTA	170,228		-
	Virginia SUTA	36,979		-
	Washington SUTA	271		-

	Total Employer payroll tax contributions	$ 924,351		$ -

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
WestPoint Stevens Inc.	)	CASE NO.	03-13532-RDD

Reporting Period		March 1, 2004 to March 31, 2004

Supplemental Schedule of Federal, State, and Local Taxes Collected, Received, Due or Withheld

		Amount Withheld/ Collected/ Incurred			Amount Paid			Date of Payment

Gross taxable amount for sales and use		$		4,246,945	$
Sales & Use taxes collected
	Abbeville, Alabama	$		1,914	$		1,914	03/22/04
	Alabama City/County (Greenville, Butler & Chambers County)	15,612			15,612			03/22/04
	Alabama Regulation A	9,710			9,710			03/22/04
	Alabama Sales	3,751			3,751			03/22/04
	Alabama Use	53,913			53,913			03/22/04
	Alatax (Opelika, Valley, Henry Co, Lee Co)	9,662			9,662			03/22/04
	Florida	6,612			6,612			03/22/04
	Georgia	20,568			20,568			03/22/04
	Indiana (Daleville)	29			29			03/30/04
	Indiana (Middletown)	1,392			1,392			03/22/04
	Louisiana	203			203			03/22/04
	New York	10,998			10,998			03/22/04
	North Carolina	8,401			8,401			03/10/04
	North Carolina	16,132			16,132			03/25/04
	Red River Parish, Louisiana	251			251			03/22/04
	South Carolina	19,351			19,351			03/22/04
	Virginia Use	190			190			03/22/04

	Total Sales & Use taxes paid	$	178,689		$	178,689
Property taxes					-
Other taxes					235,089

Total State and Local (1)		$	2,545,363		$	1,779,083

Total Taxes		$	11,333,433		$	9,102,034

(1) Difference between taxes incurred and taxes paid is due to a time lag where taxes incurred at the end of the month are paid in the following month, or after the end of the quarter for taxes paid on a quarterly basis.

I certify that the above payroll related taxes represents the taxes withheld and paid.

/s/ Tracy Culpepper

Tracy Culpepper

WestPoint Stevens Inc.

Payroll Manager

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
WestPoint Stevens Inc. I	)	CASE NO.	03-13533-RDD

Reporting Period		March 1, 2004 to March 31, 2004

Monthly Operating Report

Required Documents	Schedule Attached
Income Statement	X
Balance Sheet	X
Statement of Cash Flows	X
Schedule of Federal, State, and Local Taxes Collected, Received, Due or Withheld	X

Debtor's Address:	3993 Howard Hughes Parkway, Suite 250, Las Vegas, NV 89109
Preparer:	Dianne Nolen
Debtor's Attorney:	Weil, Gotshal & Manges LLP

Monthly Disbursements:	$	2,975,619
Monthly Profit (Loss):	$	3,382,000

All insurance policies are fully paid for the current period, and amounts for workers compensation and disability insurance have been paid.

Debtor-In-Possession	WestPoint Stevens Inc. I
By:	Lester D. Sears
Its:	President
Signature	/s/Lester D. Sears
Date	May 10, 2004

INCOME STATEMENT

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
WestPoint Stevens Inc. I	)	CASE NO.	03-13533-RDD

Reporting Period		March 1, 2004 to March 31, 2004

STATEMENT OF OPERATIONS

(in $ thousands)

Total sales	$ 4,123

Cost of sales	2,526
Gross profit	1,597

Selling and administrative expenses
Selling expense	1
Warehousing and shipping	190
Advertising	-
Division administrative expense	-
MIS expense	-
Corporate administrative expense	170
Total selling and administrative expense	361

Restructuring and impairment charge	-
Goodwill impairment charge	-

Profit / (loss) from operations	1,236

Interest expense
Interest expense - outside	-
Capitalized interest expense	-
Interest expense - intercompany	-
Interest income	-
Interest income - intercompany	271
Net interest expense	(271)

Other expense
Miscellaneous	-
Royalties - intercompany	190
Transaction gain/loss	-
Total other expense	190

Other income
Royalties - intercompany	3,888
Dividends	-
Sale of assets	-
Miscellaneous	-
Total other income	3,888
Net other expense	(3,698)

Income (loss) before Chapter 11 reorganization expenses
and income taxes (benefit) and extraordinary items	5,205

Chapter 11 reorganization expenses	-

Income taxes (benefit)	1,823

Income (loss) before extraordinary item	3,382

Extraordinary item - net of taxes	-

Net income (loss)	$ 3,382

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
WestPoint Stevens Inc. I	)	CASE NO.	03-13533-RDD

Reporting Period		March 1, 2004 to March 31, 2004

BALANCE SHEET

(in $ thousands)

ASSETS				LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIT)
Current Assets				Liabilities Not Subject to Compromise:
	Cash and cash equivalents		$ 85		Senior Credit Facility	$ -
	Short-term investments		-		DIP Credit Agreement	-
	Accounts receivable - customers		-		Long-term debt classified as current	-
	Accounts receivable - intercompany		-		Accrued interest payable	-
	Total inventories		8,395		Accounts payable - trade	927
	Prepaid & other current assets		-		Accounts payable - intercompany	7,761
	Total current assets		8,480		Other payables and accrued liabilities	8,428
					Deferred income taxes	-
					Pension and other liabilities	-
Total investments & other assets			124,052		Total liabilities not subject to compromise	17,116

Goodwill			-	Liabilities Subject to Compromise:
					Senior Notes	-
Property, plant and equipment, net			12,543		Deferred financing fees	-
					Accrued interest payable on Senior Notes	-
					Accounts payable	1,396
					Other payables and accrued liabilities	-
					Pension and other liabilities	-
					Total liabilities subject to compromise	1,396

				Total Liabilities		18,512

				SHAREHOLDERS' EQUITY (DEFICIT)
					Equity of subsidiaries	-
					Common stock	1
					Capital Surplus / Treasury Stock	70,559
					Retained earnings (deficit)	56,003
					Minimum pension liability adjustment	-
					Other adjustments	-
					Unearned compensation	-
					Total Shareholders' Equity (Deficit)	126,563
TOTAL ASSETS		$ 145,075		TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIT)		$ 145,075

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
WestPoint Stevens Inc. I	)	CASE NO.	03-13533-RDD

Reporting Period		March 1, 2004 to March 31, 2004

STATEMENT OF CASH FLOWS

(in $ thousands)

Cash Flows from Operations:
Net income (loss)	$	3,382
Non-cash items
Depreciation and amortization expense	112
Working Capital Changes
Decrease / (increase) -- accounts receivable (customers)	-
Decrease / (increase) -- accounts receivable (intercompany)	-
Decrease / (increase) -- inventories	(1,694)
Decrease / (increase) -- other current assets	-
Decrease / (increase) -- other noncurrent assets	-
Increase (decrease) -- accounts payable (trade)	38
Increase (decrease) -- accounts payable (intercompany)	(131)
Increase (decrease) -- accrued liabilities	(1,596)
Increase (decrease) -- accrued interest payable
Increase (decrease) -- pension and other liabilities	-
Increase (decrease) -- deferred federal income tax	-
Total Cash Flows from Operations	$	111

Cash Flows from Investing
Decrease / (increase) -- short term investments	-
Capital expenditures	(55)
Transfers	-
Net proceeds from sale of assets	-
Total Cash Flows from Investing	$	(55)

Cash Flows from Financing
Increase / (decrease) -- DIP credit agreement	-
Total Cash Flows from Financing	$	-

Beginning Cash Balance	$	29
Change in Cash	56
Ending Cash Balance	$	85

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
WestPoint Stevens Inc. I	)	CASE NO.	03-13533-RDD

Reporting Period		March 1, 2004 to March 31, 2004

Supplemental Schedule of Federal, State, and Local Taxes Collected, Received, Due or Withheld

		Amount Withheld/ Collected/ Incurred		Amount Paid		Date of Payment
All wages and salaries paid (gross) or incurred		$	500	-
Federal
Payroll taxes withheld		38		38		03/01/04
Employer payroll tax contributions incurred		42		42		03/10/04
Total Federal Taxes (1)		$	80	$	80
State and Local
Payroll taxes withheld		$	-	-
Employer payroll tax contributions incurred
	Nevada	$	2	$	2	03/01/04

Gross taxable sales		68,285		-
Sales & Use taxes collected
	Maine	3,414		3,414		03/15/04
Property taxes				128,953
Other taxes				-
Total State and Local (1)		3,416		132,369
Total Taxes		$	3,496	$	132,449

/s/ Tracy Culpepper

Tracy Culpepper

WestPoint Stevens Inc.

Payroll Manager

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
J.P. Stevens & Co., Inc.	)	CASE NO.	03-13534-RDD

Reporting Period		March 1, 2004 to March 31, 2004

Monthly Operating Report

Required Documents	Schedule Attached
Income Statement	X
Balance Sheet	X
Statement of Cash Flows	X
Schedule of Federal, State, and Local Taxes Collected, Received, Due or Withheld	X

Debtor's Address:	507 West 10^th Street, West Point, GA 31833
Preparer:	Dianne Nolen
Debtor's Attorney:	Weil, Gotshal & Manges LLP

Monthly Disbursements:	$ -
Monthly Profit (Loss):	$ -

All insurance policies are fully paid for the current period, and amounts for workers compensation and disability insurance have been paid.

Debtor-In-Possession	J.P. Stevens & Co., Inc.
By:	Lester D. Sears
Its:	President
Signature	/s/Lester D. Sears
Date	May 10, 2004

INCOME STATEMENT

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
J.P. Stevens & Co., Inc.	)	CASE NO.	03-13534-RDD

Reporting Period		March 1, 2004 to March 31, 2004

STATEMENT OF OPERATIONS

(in $ thousands)

Total sales	$ -

Cost of sales	-
Gross profit	-

Selling and administrative expenses
Selling expense	-
Warehousing and shipping	-
Advertising	-
Division administrative expense	-
MIS expense	-
Corporate administrative expense	-
Total selling and administrative expense	-

Restructuring and impairment charge	-
Goodwill impairment charge	-

Profit / (loss) from operations	-

Interest expense
Interest expense - outside	-
Capitalized interest expense	-
Interest expense - intercompany	-
Interest income	-
Interest income - intercompany	-
Net interest expense	-

Other expense
Miscellaneous	-
Royalties - intercompany	-
Transaction gain/loss	-
Total other expense	-

Other income
Royalties - intercompany	-
Dividends	-
Sale of assets	-
Miscellaneous	-
Total other income	-
Net other expense	-

Income (loss) before Chapter 11 reorganization expenses
and income taxes (benefit) and extraordinary items	-

Chapter 11 reorganization expenses	-

Income taxes (benefit)	-

Income (loss) before extraordinary item	-

Extraordinary item - net of taxes	-

Net income (loss)	$ -

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
J.P. Stevens & Co., Inc.	)	CASE NO.	03-13534-RDD

Reporting Period		March 1, 2004 to March 31, 2004

BALANCE SHEET

(in $ thousands)

ASSETS				LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIT)
Current Assets				Liabilities Not Subject to Compromise:
	Cash and cash equivalents		$ -		Senior Credit Facility	$ -
	Short-term investments		-		DIP Credit Agreement	-
	Accounts receivable - customers		-		Long-term debt classified as current	-
	Accounts receivable - intercompany		110,738		Accrued interest payable	-
	Total inventories		-		Accounts payable - trade	-
	Prepaid & other current assets		11		Accounts payable - intercompany	-
	Total current assets		110,749		Other payables and accrued liabilities	-
					Deferred income taxes	-
					Pension and other liabilities	-
Total investments & other assets			2,697		Total liabilities not subject to compromise	-

Goodwill			-	Liabilities Subject to Compromise:
					Senior Notes	-
Property, plant and equipment, net			-		Deferred financing fees	-
					Accrued interest payable on Senior Notes	-
					Accounts payable	-
					Other payables and accrued liabilities	-
					Pension and other liabilities	-
					Total liabilities subject to compromise	-

				Total Liabilities		-

				SHAREHOLDERS' EQUITY (DEFICIT)
					Equity of subsidiaries	10,503
					Common stock	-
					Capital Surplus / Treasury Stock	-
					Retained earnings (deficit)	102,943
					Minimum pension liability adjustment	-
					Other adjustments	-
					Unearned compensation	-
					Total Shareholders' Equity (Deficit)	113,446
TOTAL ASSETS		$ 113,446		TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIT)		$ 113,446

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
J.P. Stevens & Co., Inc.	)	CASE NO.	03-13534-RDD

Reporting Period		March 1, 2004 to March 31, 2004

STATEMENT OF CASH FLOWS

(in $ thousands)

Cash Flows from Operations:
Net income (loss)	$ -
Non-cash items
Depreciation and amortization expense	-
Working Capital Changes
Decrease / (increase) -- accounts receivable (customers)	-
Decrease / (increase) -- accounts receivable (intercompany)	-
Decrease / (increase) -- inventories	-
Decrease / (increase) -- other current assets	-
Decrease / (increase) -- other noncurrent assets	-
Increase (decrease) -- accounts payable (trade)	-
Increase (decrease) -- accounts payable (intercompany)	-
Increase (decrease) -- accrued liabilities	-
Increase (decrease) -- accrued interest payable	-
Increase (decrease) -- pension and other liabilities	-
Increase (decrease) -- deferred federal income tax	-
Total Cash Flows from Operations	$ -

Cash Flows from Investing
Decrease / (increase) -- short term investments	-
Capital expenditures	-
Net proceeds from sale of assets	-
Total Cash Flows from Investing	$ -

Cash Flows from Financing
Increase / (decrease) -- DIP credit agreement	-
Total Cash Flows from Financing	$ -

Beginning Cash Balance	-
Change in Cash	-
Ending Cash Balance	$ -

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
J.P. Stevens & Co., Inc.	)	CASE NO.	03-13534-RDD

Reporting Period		March 1, 2004 to March 31, 2004

Supplemental Schedule of Federal, State, and Local Taxes Collected, Received, Due or Withheld

	Amount Withheld/ Collected/ Incurred	Amount Paid	Date of Payment
All wages and salaries paid (gross) or incurred	$ -	$ -
Federal
Payroll taxes withheld	-	-
Employer payroll tax contributions incurred	-	-
Total Federal Taxes	-	-
State and Local
Payroll taxes withheld	-	-
Employer payroll tax contributions incurred	-	-
Gross taxable sales	-	-
Sales & Use taxes collected	-	-
Property taxes	-	-
Other taxes	-	-
Total State and Local	-	-
Total Taxes	$ -	$ -

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
J.P. Stevens Enterprises, Inc.	)	CASE NO.	03-13535-RDD

Reporting Period		March 1, 2004 to March 31, 2004

Monthly Operating Report

Required Documents	Schedule Attached
Income Statement	X
Balance Sheet	X
Statement of Cash Flows	X
Schedule of Federal, State, and Local Taxes Collected, Received, Due or Withheld	X

Debtor's Address:	3993 Howard Hughes Parkway, Suite 250, Las Vegas NV 89109
Preparer:	Dianne Nolen
Debtor's Attorney:	Weil, Gotshal & Manges LLP

Monthly Disbursements:	$	3,643
Monthly Profit (Loss):	$	170,000

All insurance policies are fully paid for the current period, and amounts for workers compensation and disability insurance have been paid.

Debtor-In-Possession	J.P. Stevens Enterprises, Inc.
By:	Lester D. Sears
Its:	President
Signature	/s/Lester D. Sears
Date	May 10, 2004

INCOME STATEMENT

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
J.P. Stevens Enterprises, Inc.	)	CASE NO.	03-13535-RDD

Reporting Period		March 1, 2004 to March 31, 2004

STATEMENT OF OPERATIONS

(in $ thousands)

Total sales	$	-

Cost of sales	-
Gross profit	-

Selling and administrative expenses
Selling expense	3
Warehousing and shipping	-
Advertising	-
Division administrative expense	-
MIS expense	-
Corporate administrative expense	-
Total selling and administrative expense	3

Restructuring and impairment charge	-
Goodwill impairment charge	-

Profit / (loss) from operations	(3)

Interest expense
Interest expense - outside	-
Capitalized interest expense	-
Interest expense - intercompany	-
Interest income	-
Interest income - intercompany	59
Net interest expense	(59)

Other expense
Miscellaneous	-
Royalties - intercompany	-
Transaction gain/loss	-
Total other expense	-

Other income
Royalties - intercompany	205
Dividends	-
Sale of assets	-
Miscellaneous	-
Total other income	205
Net other expense	(205)

Income (loss) before Chapter 11 reorganization expenses
and income taxes (benefit) and extraordinary items	261

Chapter 11 reorganization expenses	-

Income taxes (benefit)	91

Income (loss) before extraordinary item	170

Extraordinary item - net of taxes	-

Net income (loss)	$	170

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
J.P. Stevens Enterprises, Inc.	)	CASE NO.	03-13535-RDD

Reporting Period		March 1, 2004 to March 31, 2004

BALANCE SHEET

(in $ thousands)

ASSETS				LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIT)
Current Assets				Liabilities Not Subject to Compromise:
	Cash and cash equivalents		$ 42		Senior Credit Facility	$ -
	Short-term investments		-		DIP Credit Agreement	-
	Accounts receivable - customers, net		-		Long-term debt classified as current	-
	Accounts receivable - intercompany		15,644		Accrued interest payable	-
	Total inventories		-		Accounts payable - trade	-
	Prepaid & other current assets		-		Accounts payable - intercompany	-
	Total current assets		15,686		Other payables and accrued liabilities	271
					Deferred income taxes	-
					Pension and other liabilities	-
Total investments & other assets			-		Total liabilities not subject to compromise	271

Goodwill			-	Liabilities Subject to Compromise:
					Senior Notes	-
Property, plant and equipment, net			-		Deferred financing fees	-
					Accrued interest payable on Senior Notes	-
					Accounts payable	-
					Other payables and accrued liabilities	-
					Pension and other liabilities	-
					Total liabilities subject to compromise	-

				Total Liabilities		271

				SHAREHOLDERS' EQUITY (DEFICIT)
					Equity of subsidiaries	-
					Common stock	2
					Capital Surplus / Treasury Stock	-
					Retained earnings (deficit)	15,413
					Minimum pension liability adjustment	-
					Other adjustments	-
					Unearned compensation	-
					Total Shareholders' Equity (Deficit)	15,415
TOTAL ASSETS		$ 15,686		TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIT)		$ 15,686

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
J.P. Stevens Enterprises, Inc.	)	CASE NO.	03-13535-RDD

Reporting Period		March 1, 2004 to March 31, 2004

STATEMENT OF CASH FLOWS

(in $ thousands)

Cash Flows from Operations:
Net income (loss)	$	170
Non-cash items
Depreciation and amortization expense	-
Working Capital Changes
Decrease / (increase) -- accounts receivable (customers)	-
Decrease / (increase) -- accounts receivable (intercompany)	(69)
Decrease / (increase) -- inventories	-
Decrease / (increase) -- other current assets	-
Decrease / (increase) -- other noncurrent assets	-
Increase (decrease) -- accounts payable (trade)	-
Increase (decrease) -- accounts payable (intercompany)	-
Increase (decrease) -- accrued liabilities	(89)
Increase (decrease) -- accrued interest payable	-
Increase (decrease) -- pension and other liabilities	-
Increase (decrease) -- deferred federal income tax	-
Total Cash Flows from Operations	$	12

Cash Flows from Investing
Decrease / (increase) -- short term investments	-
Capital expenditures	-
Net proceeds from sale of assets	-
Total Cash Flows from Investing	$	-

Cash Flows from Financing
Increase / (decrease) -- DIP credit agreement	-
Total Cash Flows from Financing	$	-

Beginning Cash Balance	30
Change in Cash	12
Ending Cash Balance	$	42

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
J.P. Stevens Enterprises, Inc.	)	CASE NO.	03-13535-RDD

Reporting Period		March 1, 2004 to March 31, 2004

Supplemental Schedule of Federal, State, and Local Taxes Collected, Received, Due or Withheld

		Amount Withheld/ Collected/ Incurred		Amount Paid		Date of Payment
All wages and salaries paid (gross) or incurred		$	500	$
Federal
Payroll taxes withheld		38		38		03/01/04
Employer payroll tax contributions incurred		42		42		03/01/04
Total Federal Taxes (1)		80		80
State and Local
Payroll taxes withheld		$	-	$	-
Employer payroll tax contributions incurred
	Nevada	$	2	$	2	03/01/04
Gross taxable sales		-		-
Sales & Use taxes collected		-		-
Property taxes		-		-
Other taxes		-		-

Total State and Local (1)		2		2

Total Taxes		$	82	$	82

/s/ Tracy Culpepper

Tracy Culpepper

WestPoint Stevens Inc.

Payroll Manager

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
WestPoint Stevens Stores Inc.	)	CASE NO.	03-13536-RDD

Reporting Period		March 1, 2004 to March 31, 2004

Monthly Operating Report

Required Documents	Schedule Attached
Income Statement	X
Balance Sheet	X
Statement of Cash Flows	X
Schedule of Federal, State, and Local Taxes Collected, Received, Due or Withheld	X

Debtor's Address:	507 West 10^th Street, West Point, GA 31833
Preparer:	Dianne Nolen
Debtor's Attorney:	Weil, Gotshal & Manges LLP

Monthly Disbursements:	$	3,427,733
Monthly Profit (Loss):	$	(292,000)

All insurance policies are fully paid for the current period, and amounts for workers compensation and disability insurance have been paid.

Debtor-In-Possession	WestPoint Stevens Stores Inc.
By:	Lester D. Sears
Its:	Vice President
Signature	/s/Lester D. Sears
Date	May 10, 2004

INCOME STATEMENT

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
WestPoint Stevens Stores Inc.	)	CASE NO.	03-13536-RDD

Reporting Period		March 1, 2004 to March 31, 2004

STATEMENT OF OPERATIONS

(in $ thousands)

Total sales	$	6,132

Cost of sales	3,616
Gross profit	2,516

Selling and administrative expenses
Selling expense	2,015
Warehousing and shipping	204
Advertising	133
Division administrative expense	302
MIS expense	55
Corporate administrative expense	83
Total selling and administrative expense	2,792

Restructuring and impairment charge	-
Goodwill impairment charge	-

Profit / (loss) from operations	(276)

Interest expense
Interest expense - outside	-
Capitalized interest expense	-
Interest expense - intercompany	173
Interest income	-
Interest income - intercompany	-
Net interest expense	173

Other expense
Miscellaneous	-
Royalties - intercompany	-
Transaction gain/loss	-
Total other expense	-

Other income
Royalties - intercompany	-
Dividends	-
Sale of assets	-
Miscellaneous	-
Total other income	-
Net other expense	-

Income (loss) before Chapter 11 reorganization expenses
and income taxes (benefit) and extraordinary items	(449)

Chapter 11 reorganization expenses	-

Income taxes (benefit)	(157)

Income (loss) before extraordinary item	(292)

Extraordinary item - net of taxes	-

Net income (loss)	$	(292)

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
WestPoint Stevens Stores Inc.	)	CASE NO.	03-13536-RDD

Reporting Period		March 1, 2004 to March 31, 2004

BALANCE SHEET

(in $ thousands)

ASSETS				LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIT)
Current Assets				Liabilities Not Subject to Compromise:
	Cash and cash equivalents		$ 1,791		Senior Credit Facility	$ -
	Short-term investments		-		DIP Credit Agreement	-
	Accounts receivable - customers		182		Long-term debt classified as current	-
	Accounts receivable - intercompany		1,840		Accrued interest payable	-
	Total inventories		21,572		Accounts payable - trade	399
	Prepaid & other current assets		748		Accounts payable - intercompany	-
	Total current assets		26,133		Other payables and accrued liabilities	2,405
					Deferred income taxes	-
					Pension and other liabilities	-
Total investments & other assets			-		Total liabilities not subject to compromise	2,804

Goodwill			-	Liabilities Subject to Compromise:
					Senior Notes	-
Property, plant and equipment, net			3,045		Deferred financing fees	-
					Accrued interest payable on Senior Notes	-
					Accounts payable	1,673
					Other payables and accrued liabilities	-
					Pension and other liabilities	-
					Total liabilities subject to compromise	1,673

				Total Liabilities		4,477

				SHAREHOLDERS' EQUITY (DEFICIT)
					Equity of subsidiaries	-
					Common stock	1
					Capital Surplus / Treasury Stock	15,955
					Retained earnings (deficit)	8,745
					Minimum pension liability adjustment	-
					Other adjustments	-
					Unearned compensation	-
					Total Shareholders' Equity (Deficit)	24,701
TOTAL ASSETS		$ 29,178		TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIT)		$ 29,178

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
WestPoint Stevens Stores Inc.	)	CASE NO.	03-13536-RDD

Reporting Period		March 1, 2004 to March 31, 2004

STATEMENT OF CASH FLOWS

(in $ thousands)

Cash Flows from Operations:
Net income (loss)	$	(292)
Restructuring	-
Equity adjustments	-
Non-cash items
Depreciation and amortization expense	99
Working Capital Changes
Decrease / (increase) -- accounts receivable (customers)	(48)
Decrease / (increase) -- accounts receivable (intercompany)	763
Decrease / (increase) -- inventories	(412)
Decrease / (increase) -- other current assets	(12)
Decrease / (increase) -- other noncurrent assets	-
Increase (decrease) -- accounts payable (trade)	(78)
Increase (decrease) -- accounts payable (intercompany)	64
Increase (decrease) -- accrued liabilities	495
Increase (decrease) -- accrued interest payable	-
Increase (decrease) -- pension and other liabilities	-
Increase (decrease) -- deferred federal income tax	-
Total Cash Flows from Operations	$	579

Cash Flows from Investing
Decrease / (increase) -- short term investments	-
Capital expenditures	(23)
Net proceeds from sale of assets	-
Total Cash Flows from Investing	$	(23)

Cash Flows from Financing
Increase / (decrease) -- DIP credit agreement	-
Total Cash Flows from Financing	$	-

Beginning Cash Balance	$	1,235
Change in Cash	556
Ending Cash Balance	$	1,791

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
WestPoint Stevens Stores Inc.	)	CASE NO.	03-13536-RDD

Reporting Period		March 1, 2004 to March 31, 2004

Supplemental Schedule of Federal, State, and Local Taxes Collected, Received, Due or Withheld

			Amount Withheld/ Collected/ Incurred			Amount Paid			Date of Payment
All wages and salaries paid (gross) or incurred			$	983,163
Federal
Payroll taxes withheld			160,535			82,714			03/03/04
						19,827			03/10/04
						89,753			03/17/04
Employer payroll tax contributions incurred			77,774			20,746			03/24/04
						20,276			03/31/04
Total Federal Taxes (1)			$	238,309		$	233,316
State and Local
Amount of payroll taxes withheld
		Alabama SIT	$	3,793		$	3,700		03/15/04
		Arizona SIT	40			80			03/17/04
		California SIT	722			1,293			03/17/04
		Connecticut	338			324			03/31/04
		Georgia SIT	12,065			13,051			03/15/04
		Massachusetts SIT	827			990			03/17/04
		Minnesota SIT	947			940			03/31/04
		Michigan SIT	1,385			1,146			03/15/04
		New Jersey SIT	290			-
		New York SIT	1,215			957			03/03/04
		North Carolina SIT	2,163			2,113			03/31/04
		Oregon SIT	1,066			1,102			03/31/04
		Pennsylvania SIT	588			526			03/17/04
		South Carolina SIT	1,701			1,692			03/31/04
		Utah SIT	857			738			03/15/04
		Virginia SIT	942			523			03/10/04
		Wisconsin SIT	125			135			03/11/04
		Lancaster PA	152			-

		Total Payroll taxes	29,216			29,310
Amount of employer payroll tax contributions incurred
	Alabama SUTA		$	963		$	-
	California SUTA		1,681			-
	Connecticut SUTA		656			-
	Florida SUTA		2,376			-
	Georgia SUTA		3,908			-
	Massachusetts SUTA		249			-
	Minnesota SUTA		126			-
	Michigan SUTA		1,089			-
	New Jersey SUTA		448			-
	New York SUTA		1,012			-
	North Carolina SUTA		230			-
	Oregon SUTA		292			-
	Pennsylvania SUTA		321			-
	South Carolina SUTA		619			-
	Tennessee SUTA		492			-
	Texas SUTA		838			-
	Utah SUTA		92			-
	Virginia SUTA		355			-
	Wisconsin SUTA		18			-

	Total Employer payroll tax contributions		$		15,765	$		-

UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

In re:	)	CHAPTER 11
	)
WestPoint Stevens Stores Inc.	)	CASE NO.	03-13536-RDD

Reporting Period		March 1, 2004 to March 31, 2004

Supplemental Schedule of Federal, State, and Local Taxes Collected, Received, Due or Withheld

		Amount Withheld/ Collected/ Incurred		Amount Paid			Date of Payment
(continued)
Gross taxable sales		$	6,093,006
Sales & Use taxes collected
	Alabama City/County (Foley & Chambers Co.)	$	5,154	$		5,154	03/22/04
	Alabama Sales	22,595		22,595			03/22/04
	Alabama Use	56		56			03/22/04
	Alatax (Bessemer, Boaz, Valley, Marshall Co)	9,808		9,808			03/22/04
	Baldwin County Alabama	6,479		6,479			03/22/04
	California	28,685		28,685			03/24/04
	Connecticut	8,044		8,044			03/01/04
	Connecticut	6,668		6,668			03/31/04
	Florida	57,712		57,712			03/22/04
	Georgia	67,802		67,802			03/22/04
	Massachusetts	6,495		6,495			03/22/04
	Michigan	13,190		13,190			03/15/04
	Minnesota	7,308		7,308			03/22/04
	New Jersey	8,634		8,634			03/22/04
	New York	21,268		21,268			03/25/04
	North Carolina	9,457		9,457			03/10/04
	North Carolina	12,412		12,412			03/25/04
	Pennsylvania	6,994		6,994			03/22/04
	South Carolina	12,449		12,449			03/22/04
	Tennessee (P.Forge, Interstate Sales)	17,377		17,377			03/22/04
	Texas	51,384		51,384			03/22/04
	Utah	10,774		10,774			03/31/04
	Virginia Interstate Sales	92		92			03/22/04
	Virginia Williamsburg	12,772		12,772			03/22/04

	Total Sales & Use taxes paid	$	403,609	$	403,609
Property taxes				-
Other taxes				11,268

Total State and Local (1)		$	448,590	$	444,187

Total Taxes		$	686,899	$	677,503

/s/ Tracy Culpepper

Tracy Culpepper

WestPoint Stevens Inc.

Payroll Manager