On May 1, 2009 Industrial Enterprises of America, Inc. filed a voluntary petition for relief under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court for the District of Delaware in Wilmington, under Case No. 09-11508. In conjunction with the reorganization in bankruptcy, the company and the subsidiaries have undergone a comprehensive management change. On April 30, 2009, Robert L. Renck, Jr. accepted an appointment as a member of the company's Board of Directors and accepted the position of President and Chief Executive Officer of the company. On May 1, 2009, the company appointed Mike Dignazio as the company's Chief Financial Officer and Vice President of Finance. On May 8, 2009, John A. Ward, III accepted an appointment as a member of the company's Board of Directors Mr. Renck has served as a member of the Board of PPH and also as its President and Chief Executive officer since September 12, 2008. On September 18, 2008, Mr. Renck was appointed as President and CEO of EMC Packaging. Subsequent to the formation of a Governance Committee by the Independent member of the Board of IEAM, Mr. Renck became a member of that committee on October 20, 2008. Mr. Dignazio joined the company in October 2007. Mr. Dignazio is currently the Corporate Secretary of Industrial Enterprises of America, Inc. and all of its subsidiaries. He is also the VP Finance of Pitt Penn Holding, Pitt Penn Oil Co, and EMC Packaging. Mr. Dignazio is a senior financial executive with over 15 years of diversified financial experience, including positions in internal audit at Mellon Bank, several years in public accounting as an auditor with a regional certified public accounting firm, and as a financial analyst. John A. Ward, III has served as a member of the board of Pitt Penn Holding since September 12, 2008. Subsequent to the formation of a Governance Committee by the independent member of the Board of Industrial Enterprises of America, Inc., Mr. Ward became a member of that committee on October 20, 2008. Previously, Mr. Ward was the Chairman and Chief Executive Officer of American Express Bank from January 1996 until September 2000, and President of Travelers Cheque Group from April 1997 until September 2000. Mr. Ward joined American Express following a 27-year career at Chase Manhattan Bank, during which he held various senior posts in the United States, Europe and Japan. His last position at Chase was that of Chief Executive Officer of ChaseBankCard Services, which he held from 1993 until 1995. Presently serves as a director of Primus Guaranty, Ltd.

The Rosen Law Firm, P.A. announced the notice of pendency and settlement of class action involving Industrial Enterprises of America Inc. Notice of pendency and settlement of class action on behalf of those who purchased or otherwise acquired the common stock of Industrial Enterprises of America Inc. during the period from December 4, 2006 though and including November 7, 2007 and were damaged thereby. It was notified that pursuant to Rule 23 of the federal rules of civil procedure and an order of the court, that a hearing will be held on July 29, 2009 at 10:00 a.m., in Courtroom 15D, United States District Court for the Southern District of New York, 500 Pearl Street, New York, NY 10007-1312 to determine: whether this litigation should be certified as a class action for the purposes of settlement; whether the proposed settlement of the Litigation for $3,800,000 plus accrued interest should be approved by the Court as fair, reasonable, and adequate; whether the motion of Lead Plaintiffs' Counsel for an award of attorneys' fees, not to exceed one-third the Settlement Amount, and reimbursement of reasonable expenses, not to exceed $75,000 should be approved; and whether the Litigation should be dismissed with prejudice.

At its meeting on October 20, 2008 the Board of Directors of Industrial Enterprises of America, Inc. approved the formation of a Corporate Governance Committee of the Company's Board of Directors and adopted a charter for that committee. In addition, Jerome Davis was appointed to serve as chairman of the Corporate Governance Committee.