----

----

| x        QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d) |
|---------------------------------------------------------------------------------------------------|

| For the quarterly period ended April 4, 2009 |
|----------------------------------------------|

| or |
|----|

|  ̈        TRANSITION REPORT PURSUANT TO SECTION 13 or 15(d) |
|---------------------------------------------------------------------------------------------------------|

| OF THE SECURITIES EXCHANGE ACT OF 1934 |
|----------------------------------------|

| For the transition period from _____________ to _____________. |
|----------------------------------------------------------------|

| Delaware                                                       | 3089                                                     | 20-0645710                           |
|----------------------------------------------------------------|----------------------------------------------------------|--------------------------------------|
| (State or other jurisdiction of incorporation or organization) | (Primary Standard Industrial Classification Code Number) | (I.R.S. Employer Identification No.) |
|                                                           |                                                     |                                 |

----

|   | • | Part I, Item 1, Financial Information |
|--------|---------|--------------------------------------------|

|   | • | Part I, Item 2, Management’s Discussion and Analysis of Financial Condition and Result of Operations |
|--------|---------|-----------------------------------------------------------------------------------------------------------------|

|   | • | Part I, Item 4, Controls and Procedures |
|--------|---------|----------------------------------------------|

----

| PART I – FINANCIAL INFORMATION |                                                                                                                                   |   |
|--------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------|--------|
|                                 |                                                                                                                                   |   |
| Item 1.                              | Condensed Consolidated Financial Statements (Restated)                                                                                 |   |
|                                 |                                                                                                                                   |   |
|                                 | Condensed Consolidated Statements of Operations –                                                                                |   |
|                                 |            Three months ended April 4, 2009 (Restated) and March 29, 2008            | 3      |
|                                 |                                                                                                                                   |   |
|                                 | Condensed Consolidated Balance Sheets –                                                                                          |   |
|                                 |             April 4, 2009 (Restated) and December 31, 2008                      | 4      |
|                                 |                                                                                                                                   |   |
|                                 | Condensed Consolidated Statements of Cash Flows –                                                                                |   |
|                                 |             Three months ended April 4, 2009 (Restated) and March 29, 2008 | 5      |
|                                 |                                                                                                                                   |   |
|                                 | Notes to Condensed Consolidated Financial Statements (Restated)                                                                        | 6      |
|                                 |                                                                                                                                   |   |
| Item 2.                              | Management’s Discussion and Analysis of Financial Condition                                                                      |   |
|                                 |             And Results of Operations (Restated)                                | 31     |
|                                 |                                                                                                                                   |   |
| Item 3.                              | Quantitative and Qualitative Disclosures about Market Risk                                                                             | 41     |
|                                 |                                                                                                                                   |   |
| Item 4.                              | Controls and Procedures (Restated)                                                                                                     | 42     |
|                                 |                                                                                                                                   |   |
|                                 |                                                                                                                                   |   |
| PART II – OTHER INFORMATION    |                                                                                                                                   |   |
|                                 |                                                                                                                                   |   |
| Item 1A                              | Risk Factors                                                                                                                           | 43     |
|                                 |                                                                                                                                   |   |
| Item 6.                              | Exhibits                                                                                                                               | 43     |
|                                 |                                                                                                                                   |   |
| Signatures                           |                                                                                                                                   | 44     |

----

|                                         |   | For the three months ended  |    |
|----------------------------------------------|--------|-----------------------------|---------|
|                                         |   | April 4,                    |    |   | March 29, |   |
|                                         |   | 2009                        |    |   | 2008 |   |
|                                         |   |    (Restated) (1) |    |   |   |   |
|                                         |   | (Amounts in thousands)      |    |
|                                         |   |                        |    |   |   |   |
| Net sales                                    |   | $                           | 182,751 |   |   | $ | 256,373 |   |
| Costs and expenses:                          |   |                        |    |   |   |   |   |   |
| Cost of products sold                        |   |                        | 169,691 |   |   |   | 225,881 |   |
| Selling, general and administrative expenses |   |                        | 40,962  |   |   |   | 39,862 |   |
| Amortization of intangible assets            |   |                        | 4,906   |   |   |   | 4,914 |   |
| Total costs and expenses                     |   |                        | 215,559 |   |   |   | 270,657 |   |
| Operating loss                               |   |                        | (32,808 | ) |   |   | (14,284 | ) |
| Foreign currency loss                        |   |                        | (88     | ) |   |   | (551 | ) |
| Interest expense                             |   |                        | (33,756 | ) |   |   | (23,074 | ) |
| Interest income                              |   |                        | 65      |   |   |   | 203 |   |
| Loss before benefit for income taxes         |   |                        | (66,587 | ) |   |   | (37,706 | ) |
| Benefit for income taxes                     |   |                        | (11,049 | ) |   |   | (15,864 | ) |
| Net loss                                     |   | $                           | (55,538 | ) |   | $ | (21,842 | ) |

----

PLY GEM HOLDINGS, INC. AND SUBSIDIARIES

|                                                                          |                                         | April 4,                   |      |   | December 31, |   |
|-------------------------------------------------------------------------------|----------------------------------------------|----------------------------|-----------|--------|--------------|--------|
|                                                                          |                                         | 2009                       |      |   | 2008         |   |
|                                                                          |                                         |   (Restated) (1) |      |   |         |   |
|                                                                          | (Amounts in thousands, except share amounts) |
| ASSETS                                                                        |                                         |                       |      |   |         |   |
| Current Assets:                                                               |                                         |                       |      |   |         |   |
| Cash and cash equivalents                                                     |                                         | $                          | 17,215    |   |         | $      | 58,289 |   |
| Accounts receivable, less allowances of $6,877 and $6,405, respectively       |                                         |                       | 106,409   |   |         |   | 90,527 |   |
| Inventories:                                                                  |                                         |                       |      |   |         |   |   |   |
| Raw materials                                                                 |                                         |                       | 44,821    |   |         |   | 53,060 |   |
| Work in process                                                               |                                         |                       | 24,917    |   |         |   | 28,085 |   |
| Finished goods                                                                |                                         |                       | 36,580    |   |         |   | 42,267 |   |
|   Total inventory                                                   |                                         |                       | 106,318   |   |         |   | 123,412 |   |
| Prepaid expenses and other current assets                                     |                                         |                       | 22,807    |   |         |   | 19,985 |   |
| Deferred income taxes                                                         |                                         |                       | 3,645     |   |         |   | 16,867 |   |
|  Total current assets                                                    |                                         |                       | 256,394   |   |         |   | 309,080 |   |
| Property and Equipment, at cost:                                              |                                         |                       |      |   |         |   |   |   |
| Land                                                                          |                                         |                       | 3,709     |   |         |   | 3,709 |   |
| Buildings and improvements                                                    |                                         |                       | 35,235    |   |         |   | 35,206 |   |
| Machinery and equipment                                                       |                                         |                       | 255,523   |   |         |   | 253,290 |   |
| Total property and equipment                                                  |                                         |                       | 294,467   |   |         |   | 292,205 |   |
| Less accumulated depreciation                                                 |                                         |                       | (131,060  | )      |         |   | (122,194 | ) |
|     Total property and equipment, net                     |                                         |                       | 163,407   |   |         |   | 170,011 |   |
| Other Assets:                                                                 |                                         |                       |      |   |         |   |   |   |
| Intangible assets, less accumulated amortization of $69,394 and $64,488,      |                                         |                       |      |   |         |   |   |   |
|     respectively                                          |                                         |                       | 188,698   |   |         |   | 193,604 |   |
| Goodwill                                                                      |                                         |                       | 390,685   |   |         |   | 390,779 |   |
| Other                                                                         |                                         |                       | 38,671    |   |         |   | 40,579 |   |
|     Total other assets                                    |                                         |                       | 618,054   |   |         |   | 624,962 |   |
|                                                                          |                                         | $                          | 1,037,855 |   |         | $      | 1,104,053 |   |
|                                                                          |                                         |                       |      |   |         |   |   |   |
| LIABILITIES AND STOCKHOLDER'S EQUITY (DEFICIT)                                |                                         |                       |      |   |         |   |   |   |
| Current Liabilities:                                                          |                                         |                       |      |   |         |   |   |   |
| Accounts payable                                                              |                                         | $                          | 48,090    |   |         | $      | 59,603 |   |
| Accrued expenses and taxes                                                    |                                         |                       | 95,310    |   |         |   | 76,304 |   |
|      Total current liabilities                       |                                         |                       | 143,400   |   |         |   | 135,907 |   |
| Deferred income taxes                                                         |                                         |                       | -         |   |         |   | 28,355 |   |
| Other long term liabilities                                                   |                                         |                       | 68,585    |   |         |   | 68,233 |   |
| Long-term debt                                                                |                                         |                       | 1,124,433 |   |         |   | 1,114,186 |   |
|                                                                          |                                         |                       |      |   |         |   |   |   |
| Commitments and contingencies                                                 |                                         |                       |      |   |         |   |   |   |
|                                                                          |                                         |                       |      |   |         |   |   |   |
| Stockholder's Equity (Deficit):                                               |                                         |                       |      |   |         |   |   |   |
| Preferred stock $0.01 par, 100 shares authorized, none issued and outstanding |                                         |                       | -         |   |         |   | - |   |
| Common stock $0.01 par, 100 shares authorized, issued and outstanding         |                                         |                       | -         |   |         |   | - |   |
| Additional paid-in-capital                                                    |                                         |                       | 209,919   |   |         |   | 209,908 |   |
| Accumulated deficit                                                           |                                         |                       | (502,531  | )      |         |   | (446,993 | ) |
| Accumulated other comprehensive loss                                          |                                         |                       | (5,951    | )      |         |   | (5,543 | ) |
|      Total stockholder's deficit                     |                                         |                       | (298,563  | )      |         |   | (242,628 | ) |
|                                                                          |                                         | $                          | 1,037,855 |   |         | $      | 1,104,053 |   |

----

|                                                                        |   | For the three months ended       |    |
|-----------------------------------------------------------------------------|--------|----------------------------------|---------|
|                                                                        |   | April 4,                         |    |   | March 29, |   |
|                                                                        |   | 2009                             |    |   | 2008 |   |
|                                                                        |   |    (Restated) (1) |    |   |   |   |
|                                                                        |   | (Amounts in thousands)           |    |
| Cash flows from operating activities:                                       |   |                             |    |   |   |   |
| Net loss                                                                    |   | $                                | (55,538 | ) |   | $ | (21,842 | ) |
| Adjustments to reconcile net loss to cash                                   |   |                             |    |   |   |   |   |   |
|    used in operating activities:                             |   |                             |    |   |   |   |   |   |
| Depreciation and amortization expense                                       |   |                             | 13,896  |   |   |   | 16,026 |   |
| Non-cash interest expense, net                                              |   |                             | 2,044   |   |   |   | 1,745 |   |
| Loss on foreign currency transactions                                       |   |                             | 88      |   |   |   | 551 |   |
| (Gain) loss on sale of assets                                               |   |                             | (1      | ) |   |   | 323 |   |
| Deferred income taxes                                                       |   |                             | (15,096 | ) |   |   | 461 |   |
| Changes in operating assets and liabilities:                                |   |                             |    |   |   |   |   |   |
| Accounts receivable, net                                                    |   |                             | (15,926 | ) |   |   | (25,068 | ) |
| Inventories                                                                 |   |                             | 17,044  |   |   |   | 6,477 |   |
| Prepaid expenses and other current assets                                   |   |                             | (2,817  | ) |   |   | (3,374 | ) |
| Accounts payable                                                            |   |                             | (11,514 | ) |   |   | 11,910 |   |
| Accrued expenses and taxes                                                  |   |                             | 21,405  |   |   |   | (30,439 | ) |
| Cash payments on restructuring liabilities                                  |   |                             | (1,926  | ) |   |   | (1,919 | ) |
| Other                                                                       |   |                             | (375    | ) |   |   | 21 |   |
|     Net cash used in operating activities               |   |                             | (48,716 | ) |   |   | (45,128 | ) |
| Cash flows from investing activities:                                       |   |                             |    |   |   |   |   |   |
| Capital expenditures                                                        |   |                             | (2,446  | ) |   |   | (4,681 | ) |
| Proceeds from sale of assets                                                |   |                             | 21      |   |   |   | 5,810 |   |
| Other                                                                       |   |                             | -       |   |   |   | (15 | ) |
|     Net cash (used in) provided by investing activities |   |                             | (2,425  | ) |   |   | 1,114 |   |
| Cash flows from financing activities:                                       |   |                             |    |   |   |   |   |   |
| Proceeds from revolver borrowings                                           |   |                             | 10,000  |   |   |   | 15,000 |   |
| Payments on long-term debt                                                  |   |                             | -       |   |   |   | (51 | ) |
| Debt issuance costs paid                                                    |   |                             | (26     | ) |   |   | - |   |
| Equity repurchases                                                          |   |                             | -       |   |   |   | (126 | ) |
|     Net cash provided by financing activities           |   |                             | 9,974   |   |   |   | 14,823 |   |
| Impact of exchange rate movements on cash                                   |   |                             | 93      |   |   |   | (249 | ) |
| Net decrease in cash and cash equivalents                                   |   |                             | (41,074 | ) |   |   | (29,440 | ) |
| Cash and cash equivalents at the beginning of the period                    |   |                             | 58,289  |   |   |   | 52,053 |   |
| Cash and cash equivalents at the end of the period                          |   | $                                | 17,215  |   |   | $ | 22,613 |   |

----

----

----

|    |          |                                                                                                      |
|--------------|---------------|-----------------------------------------------------------------------------------------------------------|
|         | •  | Significant under-performance relative to historical or projected future operating results;               |
|         |          |                                                                                                      |
|         | •  | Significant negative industry or economic trends;                                                         |
|         |          |                                                                                                      |
|         | •  | Significant decline in its stock valuation for a sustained period; and                                    |
|         |          |                                                                                                      |
|         | •  | Significant changes in the manner of its use of acquired assets or the strategy for its overall business. |

|                       |   | April 4, 2009 |    |   | December 31, 2008 |   |
|----------------------------|--------|---------------|---------|--------|-------------------|--------|
| Windows and Doors          |   | $             | 70,589  |   |              | $      | 70,683 |   |
| Siding, Fencing, and Stone |   |          | 320,096 |   |              |   | 320,096 |   |
|                       |   | $             | 390,685 |   |              | $      | 390,779 |   |

----

| ·   | Level 1: Observable inputs such as quoted prices (unadjusted) in active markets for identical assets or liabilities. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------|

| ·   | Level 2: Inputs other than quoted prices that are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Level 3: Observable inputs that reflect the reporting entity’s own assumptions. |
|--------------------|--------------------------------------------------------------------------------------------|

----

| (Amounts in Thousands)                                      |   |   |    |   |                 |   |    |             |   |   |         |   |
|-------------------------------------------------------------|--------|--------|---------|--------|----------------------|--------|---------|------------------|--------|--------|--------------|--------|
|                                                        |   |   |    |   | Quoted Prices        |   |    | Significant      |   |   | Significant  |   |
|                                                        |   |   |    |   | in Active Markets    |   |    | Other Observable |   |   | Unobservable |   |
|                                                        |   |   |    |   | for Identical Assets |   |    | Inputs           |   |   | Inputs       |   |
| Description                                                 |   | Total  |    |   | (Level 1)            |   |    | (Level 2)        |   |   | (Level 3)    |   |
| Assets:                                                     |   |   |    |   |                 |   |    |             |   |   |         |   |
|      Money market funds            |   | $      | -       |   |                 | $      | -       |             |   | $      | -            |   |   | $ | - |   |
| Liabilities:                                                |   |   |    |   |                 |   |    |             |   |   |         |   |   |   |   |   |
|      Senior Subordinated Notes- 9% |   | $      | 93,600  |   |                 | $      | 93,600  |             |   |   | -            |   |   |   | - |   |
|      Senior Secured Notes-11.75%   |   |   | 304,500 |   |                 |   | 304,500 |             |   |   | -            |   |   |   | - |   |
| As of April 4, 2009                                         |   | $      | 398,100 |   |                 | $      | 398,100 |             |   | $      | -            |   |   | $ | - |   |
|                                                        |   |   |    |   |                 |   |    |             |   |   |         |   |   |   |   |   |
| Assets:                                                     |   |   |    |   |                 |   |    |             |   |   |         |   |   |   |   |   |
|      Money market funds            |   | $      | 29,197  |   |                 | $      | 29,197  |             |   | $      | -            |   |   | $ | - |   |
| Liabilities:                                                |   |   |    |   |                 |   |    |             |   |   |         |   |   |   |   |   |
|      Senior Subordinated Notes- 9% |   | $      | 86,400  |   |                 | $      | 86,400  |             |   |   | -            |   |   |   | - |   |
|      Senior Secured Notes-11.75%   |   |   | 378,000 |   |                 |   | 378,000 |             |   |   | -            |   |   |   | - |   |
| As of December 31, 2008                                     |   | $      | 464,400 |   |                 | $      | 464,400 |             |   | $      | -            |   |   | $ | - |   |

----

----

|                                                                                                             |   | For the three months ended April 4, 2009 |    |
|------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------------|---------|
|                                                                                                             |   | As Previously                                 |    |   |   |   |   |   |   |   |
|                                                                                                             |   | Reported                                      |    |   | Adjustments |   |   |   | As Restated |   |
|                                                                                                             |   | (Amounts in thousands)                        |    |
|                                                                                                             |   |                                          |    |   |   |   |   |   |   |   |
| Net sales                                                                                                        |   | $                                             | 182,751 |   |   | $ | - |   |   |   | $ | 182,751 |   |
| Costs and expenses:                                                                                              |   |                                          |    |   |   |   |   |   |   |   |   |   |   |
| Cost of products sold                                                                                            |   |                                          | 169,691 |   |   |   | - |   |   |   |   | 169,691 |   |
| Selling, general and administrative expenses                                                                     |   |                                          | 40,962  |   |   |   | - |   |   |   |   | 40,962 |   |
| Amortization of intangible assets                                                                                |   |                                          | 4,906   |   |   |   | - |   |   |   |   | 4,906 |   |
| Total costs and expenses                                                                                         |   |                                          | 215,559 |   |   |   | - |   |   |   |   | 215,559 |   |
| Operating loss                                                                                                   |   |                                          | (32,808 | ) |   |   | - |   |   |   |   | (32,808 | ) |
| Foreign currency loss                                                                                            |   |                                          | (88     | ) |   |   | - |   |   |   |   | (88 | ) |
| Interest expense                                                                                                 |   |                                          | (33,756 | ) |   |   | - |   |   |   |   | (33,756 | ) |
| Interest income                                                                                                  |   |                                          | 65      |   |   |   | - |   |   |   |   | 65 |   |
| Loss before benefit for income taxes                                                                             |   |                                          | (66,587 | ) |   |   | - |   |   |   |   | (66,587 | ) |
| Benefit for income taxes                                                                                         |   |                                          | (3,949  | ) |   |   | (7,100 | ) | (A) |   |   | (11,049 | ) |
| Net loss                                                                                                         |   | $                                             | (62,638 | ) |   | $ | 7,100 |   | (A) |   | $ | (55,538 | ) |
|                                                                                                             |   |                                          |    |   |   |   |   |   |   |   |   |   |   |
|                                                                                                             |   |                                          |    |   |   |   |   |   |   |   |   |   |   |
| (A) Adjustments to benefit for income taxes and net loss are the result of the error correction described above. |   |

----

|                                                            |   | April 4, 2009                                |      |
|-----------------------------------------------------------------|--------|----------------------------------------------|-----------|
|                                                            |   | As Previously                                |      |   |   |   |   |   |   |   |
|                                                            |   | Reported                                     |      |   | Adjustments |   |   |   | As Restated |   |
|                                                            |   | (Amounts in thousands, except share amounts) |      |
| ASSETS                                                          |   |                                         |      |   |   |   |   |   |   |   |
| Current Assets:                                                 |   |                                         |      |   |   |   |   |   |   |   |
| Cash and cash equivalents                                       |   | $                                            | 17,215    |   |   | $ | - |   |   |   | $ | 17,215 |   |
|                                                            |   |                                         |      |   |   |   |   |   |   |   |   |   |   |
| Accounts receivable, net                                        |   |                                         | 106,409   |   |   |   | - |   |   |   |   | 106,409 |   |
| Inventories:                                                    |   |                                         |      |   |   |   |   |   |   |   |   |   |   |
| Raw materials                                                   |   |                                         | 44,821    |   |   |   | - |   |   |   |   | 44,821 |   |
| Work in process                                                 |   |                                         | 24,917    |   |   |   | - |   |   |   |   | 24,917 |   |
| Finished goods                                                  |   |                                         | 36,580    |   |   |   | - |   |   |   |   | 36,580 |   |
|   Total inventory                                     |   |                                         | 106,318   |   |   |   | - |   |   |   |   | 106,318 |   |
| Prepaid expenses and other current assets                       |   |                                         | 22,807    |   |   |   | - |   |   |   |   | 22,807 |   |
| Deferred income taxes                                           |   |                                         | -         |   |   |   | 3,645 |   |  (A) |   |   | 3,645 |   |
|  Total current assets                                      |   |                                         | 252,749   |   |   |   | 3,645 |   |  (A) |   |   | 256,394 |   |
| Property and Equipment, at cost:                                |   |                                         |      |   |   |   |   |   |   |   |   |   |   |
| Land                                                            |   |                                         | 3,709     |   |   |   | - |   |   |   |   | 3,709 |   |
| Buildings and improvements                                      |   |                                         | 35,235    |   |   |   | - |   |   |   |   | 35,235 |   |
| Machinery and equipment                                         |   |                                         | 255,523   |   |   |   | - |   |   |   |   | 255,523 |   |
| Total property and equipment                                    |   |                                         | 294,467   |   |   |   | - |   |   |   |   | 294,467 |   |
| Less accumulated depreciation                                   |   |                                         | (131,060  | ) |   |   | - |   |   |   |   | (131,060 | ) |
|     Total property and equipment, net       |   |                                         | 163,407   |   |   |   | - |   |   |   |   | 163,407 |   |
| Other Assets:                                                   |   |                                         |      |   |   |   |   |   |   |   |   |   |   |
|  Intangible assets                                         |   |                                         | 188,698   |   |   |   | - |   |   |   |   | 188,698 |   |
| Goodwill                                                        |   |                                         | 390,685   |   |   |   | - |   |   |   |   | 390,685 |   |
| Other                                                           |   |                                         | 38,671    |   |   |   | - |   |   |   |   | 38,671 |   |
|     Total other assets                      |   |                                         | 618,054   |   |   |   | - |   |   |   |   | 618,054 |   |
|                                                            |   | $                                            | 1,034,210 |   |   | $ | 3,645 |   |  (A) |   | $ | 1,037,855 |   |
|                                                            |   |                                         |      |   |   |   |   |   |   |   |   |   |   |
| LIABILITIES AND STOCKHOLDER'S EQUITY (DEFICIT)                  |   |                                         |      |   |   |   |   |   |   |   |   |   |   |
| Current Liabilities:                                            |   |                                         |      |   |   |   |   |   |   |   |   |   |   |
| Accounts payable                                                |   | $                                            | 48,090    |   |   | $ | - |   |   |   | $ | 48,090 |   |
| Accrued expenses and taxes                                      |   |                                         | 94,370    |   |   |   | 940 |   |  (A) |   |   | 95,310 |   |
|      Total current liabilities         |   |                                         | 142,460   |   |   |   | 940 |   |  (A) |   |   | 143,400 |   |
| Deferred income taxes                                           |   |                                         | 4,395     |   |   |   | (4,395 | ) |  (A) |   |   | - |   |
| Other long term liabilities                                     |   |                                         | 68,585    |   |   |   | - |   |   |   |   | 68,585 |   |
| Long-term debt                                                  |   |                                         | 1,124,433 |   |   |   | - |   |   |   |   | 1,124,433 |   |
|                                                            |   |                                         |      |   |   |   |   |   |   |   |   |   |   |
| Commitments and contingencies                                   |   |                                         |      |   |   |   |   |   |   |   |   |   |   |
|                                                            |   |                                         |      |   |   |   |   |   |   |   |   |   |   |
| Stockholder's Equity (Deficit):                                 |   |                                         |      |   |   |   |   |   |   |   |   |   |   |
| Preferred stock $0.01 par, 100 shares authorized,               |   |                                         |      |   |   |   |   |   |   |   |   |   |   |
|       none issued and outstanding |   |                                         | -         |   |   |   | - |   |   |   |   | - |   |
| Common stock $0.01 par, 100 shares authorized,                  |   |                                         |      |   |   |   |   |   |   |   |   |   |   |
|       issued and outstanding      |   |                                         | -         |   |   |   | - |   |   |   |   | - |   |
| Additional paid-in-capital                                      |   |                                         | 209,919   |   |   |   | - |   |   |   |   | 209,919 |   |
| Accumulated deficit                                             |   |                                         | (509,631  | ) |   |   | 7,100 |   |  (A) |   |   | (502,531 | ) |
| Accumulated other comprehensive loss                            |   |                                         | (5,951    | ) |   |   | - |   |   |   |   | (5,951 | ) |
|      Total stockholder's deficit       |   |                                         | (305,663  | ) |   |   | 7,100 |   |  (A) |   |   | (298,563 | ) |
|                                                            |   | $                                            | 1,034,210 |   |   | $ | 3,645 |   |  (A) |   | $ | 1,037,855 |   |

----

|                                                              |   | For the three months ended April 4, 2009 |    |
|-------------------------------------------------------------------|--------|-----------------------------------------------|---------|
|                                                              |   | As Previously                                 |    |   |   |   |   |   |   |   |
|                                                              |   | Reported                                      |    |   | Adjustments |   |   |   | As Restated |   |
|                                                              |   |  (Amounts in thousands)                  |
| Cash flows from operating activities:                             |   |                                          |    |   |   |   |   |   |   |   |
| Net loss                                                          |   | $                                             | (62,638 | ) |   | $ | 7,100 |   | (A) |   | $ | (55,538 | ) |
| Adjustments to reconcile net loss to cash                         |   |                                          |    |   |   |   |   |   |   |   |   |   |   |
|    used in operating activities:                   |   |                                          |    |   |   |   |   |   |   |   |   |   |   |
| Depreciation and amortization expense                             |   |                                          | 13,896  |   |   |   | - |   |   |   |   | 13,896 |   |
| Non-cash interest expense, net                                    |   |                                          | 2,044   |   |   |   | - |   |   |   |   | 2,044 |   |
| Loss on foreign currency transactions                             |   |                                          | 88      |   |   |   | - |   |   |   |   | 88 |   |
| (Gain) loss on sale of assets                                     |   |                                          | (1      | ) |   |   | - |   |   |   |   | (1 | ) |
| Deferred income taxes                                             |   |                                          | (7,056  | ) |   |   | (8,040 | ) | (A) |   |   | (15,096 | ) |
| Changes in operating assets and liabilities:                      |   |                                          |    |   |   |   | - |   |   |   |   |   |   |
| Accounts receivable, net                                          |   |                                          | (15,926 | ) |   |   | - |   |   |   |   | (15,926 | ) |
| Inventories                                                       |   |                                          | 17,044  |   |   |   | - |   |   |   |   | 17,044 |   |
| Prepaid expenses and other current assets                         |   |                                          | (2,817  | ) |   |   | - |   |   |   |   | (2,817 | ) |
| Accounts payable                                                  |   |                                          | (11,514 | ) |   |   | - |   |   |   |   | (11,514 | ) |
| Accrued expenses and taxes                                        |   |                                          | 20,465  |   |   |   | 940 |   | (A) |   |   | 21,405 |   |
| Cash payments on restructuring liabilities                        |   |                                          | (1,926  | ) |   |   | - |   |   |   |   | (1,926 | ) |
| Other                                                             |   |                                          | (375    | ) |   |   | - |   |   |   |   | (375 | ) |
|     Net cash used in operating activities     |   |                                          | (48,716 | ) |   |   | - |   |   |   |   | (48,716 | ) |
| Cash flows from investing activities:                             |   |                                          |    |   |   |   |   |   |   |   |   |   |   |
| Capital expenditures                                              |   |                                          | (2,446  | ) |   |   | - |   |   |   |   | (2,446 | ) |
| Proceeds from sale of assets                                      |   |                                          | 21      |   |   |   | - |   |   |   |   | 21 |   |
| Other                                                             |   |                                          | -       |   |   |   | - |   |   |   |   | - |   |
|     Net cash used in investing activities     |   |                                          | (2,425  | ) |   |   | - |   |   |   |   | (2,425 | ) |
| Cash flows from financing activities:                             |   |                                          |    |   |   |   |   |   |   |   |   |   |   |
| Proceeds from revolver borrowings                                 |   |                                          | 10,000  |   |   |   | - |   |   |   |   | 10,000 |   |
| Payments on long-term debt                                        |   |                                          | -       |   |   |   | - |   |   |   |   | - |   |
| Debt issuance costs paid                                          |   |                                          | (26     | ) |   |   | - |   |   |   |   | (26 | ) |
| Equity repurchases                                                |   |                                          | -       |   |   |   | - |   |   |   |   | - |   |
|     Net cash provided by financing activities |   |                                          | 9,974   |   |   |   | - |   |   |   |   | 9,974 |   |
| Impact of exchange rate movements on cash                         |   |                                          | 93      |   |   |   | - |   |   |   |   | 93 |   |
| Net decrease in cash and cash equivalents                         |   |                                          | (41,074 | ) |   |   | - |   |   |   |   | (41,074 | ) |
| Cash and cash equivalents at the beginning of the period          |   |                                          | 58,289  |   |   |   | - |   |   |   |   | 58,289 |   |
| Cash and cash equivalents at the end of the period                |   | $                                             | 17,215  |   |   | $ | - |   |   |   | $ | 17,215 |   |

  

----

|                                 |   | (in thousands) |   |
|--------------------------------------|--------|----------------|--------|
| Other current assets, net of cash    |   | $              | 566    |   |
| Inventories                          |   |           | 307    |   |
| Property, plant and equipment        |   |           | 1,863  |   |
| Goodwill                             |   |           | 1,584  |   |
| Current liabilities                  |   |           | (706   | ) |
| Purchase price, net of cash acquired |   | $              | 3,614  |   |

|                    |   | Average      |   |   |                   |   |    |         |   |   |         |   |
|-------------------------|--------|--------------|--------|--------|------------------------|--------|---------|--------------|--------|--------|--------------|--------|
|                    |   | Amortization |   |   |                   |   |    |         |   |   |         |   |
|                    |   | Period       |   |   |                   |   |    | Accumulated  |   |   | Net Carrying |   |
|                    |   | (in Years)   |   |   | Cost                   |   |    | Amortization |   |   | Value        |   |
|                    |   |         |   |   | (Amounts in thousands) |   |    |         |   |
| As of April 4, 2009     |   |         |   |   |                   |   |    |         |   |   |         |   |
| Patents                 |   |         | 14     |   |                   | $      | 12,770  |         |   | $      | (4,769       | )      |   | $ | 8,001 |   |
| Trademarks/Tradenames   |   |         | 15     |   |                   |   | 85,644  |         |   |   | (17,052      | )      |   |   | 68,592 |   |
| Customer relationships  |   |         | 13     |   |                   |   | 158,158 |         |   |   | (46,949      | )      |   |   | 111,209 |   |
| Other                   |   |         | 4      |   |                   |   | 1,520   |         |   |   | (624         | )      |   |   | 896 |   |
| Total intangible assets |   |         |   |   |                   | $      | 258,092 |         |   | $      | (69,394      | )      |   | $ | 188,698 |   |
|                    |   |         |   |   |                   |   |    |         |   |   |         |   |   |   |   |   |
| As of December 31, 2008 |   |         |   |   |                   |   |    |         |   |   |         |   |   |   |   |   |
| Patents                 |   |         | 14     |   |                   | $      | 12,770  |         |   | $      | (4,533       | )      |   | $ | 8,237 |   |
| Trademarks/Tradenames   |   |         | 15     |   |                   |   | 85,644  |         |   |   | (15,578      | )      |   |   | 70,066 |   |
| Customer relationships  |   |         | 13     |   |                   |   | 158,158 |         |   |   | (43,850      | )      |   |   | 114,308 |   |
| Other                   |   |         | 4      |   |                   |   | 1,520   |         |   |   | (527         | )      |   |   | 993 |   |
| Total intangible assets |   |         |   |   |                   | $      | 258,092 |         |   | $      | (64,488      | )      |   | $ | 193,604 |   |

----

|                                    |   | Three Months Ended     |    |
|-----------------------------------------|--------|------------------------|---------|
|                                    |   | April 4, 2009          |    |   | March 29, 2008 |   |
|                                    |   |   (Restated) (1)  |    |   |   |   |
|                                    |   | (Amounts in thousands) |    |
|                                    |   |                   |    |   |   |   |
| Net loss                                |   | $                      | (55,538 | ) |   | $ | (21,842 | ) |
| Foreign currency translation adjustment |   |                   | (407    | ) |   |   | (1,173 | ) |
|                                    |   |                   |    |   |   |   |   |   |
| Comprehensive loss                      |   | $                      | (55,945 | ) |   | $ | (23,015 | ) |

|                                                                                                               |   | April 4, 2009          |      |   | December 31, 2008 |   |
|--------------------------------------------------------------------------------------------------------------------|--------|------------------------|-----------|--------|-------------------|--------|
|                                                                                                               |   | (Amounts in thousands) |      |
|                                                                                                               |   |                   |      |   |              |   |
|   Senior secured asset based revolving credit facility                                                   |   | $                      | 70,000    |   |              | $      | 60,000 |   |
|   Senior subordinated notes due 2012, net    of unamortized premium of $136 and $146 |   |                   | 360,136   |   |              |   | 360,146 |   |
|   Senior secured notes due 2013, net of    unamortized discount of $5,703 and $5,960 |   |                   | 694,297   |   |              |   | 694,040 |   |
|                                                                                                               |   | $                      | 1,124,433 |   |              | $      | 1,114,186 |   |

----

----

| April 3, 2010                 |   | $      | -         |   |
|-------------------------------|--------|--------|-----------|--------|
| April 2, 2011                 |   |   | -         |   |
| March 31, 2012                |   |   | 360,136   |   |
| March 30, 2013                |   |   | -         |   |
| March 29, 2014 and thereafter |   |   | 764,297   |   |
|                          |   | $      | 1,124,433 |   |

----

|                           |   | For the threemonths endedApril 4, 2009 |   |   | For the threemonths endedMarch 29, 2008 |   |
|--------------------------------|--------|----------------------------------------|--------|--------|-----------------------------------------|--------|
|                           |   | (Amounts in thousands)                 |   |
|                           |   |                                   |   |   |                                    |   |
| Service cost                   |   | $                                      | 44     |   |                                    | $      | 48 |   |
| Interest cost                  |   |                                   | 500    |   |                                    |   | 506 |   |
| Expected return on plan assets |   |                                   | (366   | )      |                                    |   | (550 | ) |
| Amortization of loss           |   |                                   | 126    |   |                                    |   | - |   |
| Net periodic expense           |   | $                                      | 304    |   |                                    | $      | 4 |   |

|                                                        |   | (Amounts in thousands) |   |
|-------------------------------------------------------------|--------|------------------------|--------|
|                                                        |   | April 4, 2009          |   |   | December 31, 2008 |   |
|   Product claim liabilities                       |   | $                      | 3,634  |   |   | $ | 3,718 |   |
|   Multiemployer pension plan withdrawal liability |   |                   | 3,442  |   |   |   | 3,492 |   |
|   Other                                           |   |                   | 580    |   |   |   | 584 |   |
|                                                        |   | $                      | 7,656  |   |   | $ | 7,794 |   |

----

|                                    |   | For the threemonths endedApril 4, 2009 |   |   | For the threemonths endedMarch 29, 2008 |   |
|-----------------------------------------|--------|----------------------------------------|--------|--------|-----------------------------------------|--------|
|                                    |   | (Amounts in thousands)                 |   |
| Balance, beginning of period            |   | $                                      | 45,653 |   |                                    | $      | 49,899 |   |
| Warranty expense provided during period |   |                                   | 832    |   |                                    |   | 977 |   |
| Settlements made during period          |   |                                   | (1,987 | )      |                                    |   | (2,023 | ) |
| Balance, end of period                  |   | $                                      | 44,498 |   |                                    | $      | 48,853 |   |

|                               |   | April 4, 2009                    |   |   | December 31, 2008 |   |
|------------------------------------|--------|----------------------------------|--------|--------|-------------------|--------|
|                               |   |    (Restated) (1) |   |   |              |   |
|                               |   | (Amounts in thousands)           |   |
|                               |   |                             |   |   |              |   |
| Insurance                          |   | $                                | 5,277  |   |              | $      | 5,169 |   |
| Employee compensation and benefits |   |                             | 8,964  |   |              |   | 6,705 |   |
| Sales and marketing                |   |                             | 13,683 |   |              |   | 18,023 |   |
| Product warranty                   |   |                             | 12,165 |   |              |   | 12,069 |   |
| Short-term product claim liability |   |                             | 2,321  |   |              |   | 2,321 |   |
| Accrued freight                    |   |                             | 1,427  |   |              |   | 748 |   |
| Interest                           |   |                             | 30,080 |   |              |   | 17,238 |   |
| Accrued severance                  |   |                             | 463    |   |              |   | 471 |   |
| Accrued pension                    |   |                             | 1,810  |   |              |   | 1,810 |   |
| Accrued deferred compensation      |   |                             | 1,886  |   |              |   | 1,886 |   |
| Accrued taxes                      |   |                             | 6,918  |   |              |   | 1,188 |   |
| Other                              |   |                             | 10,316 |   |              |   | 8,676 |   |
|                               |   | $                                | 95,310 |   |              | $      | 76,304 |   |

|                                       |   | April 4, 2009          |   |   | December 31, 2008 |   |
|--------------------------------------------|--------|------------------------|--------|--------|-------------------|--------|
|                                       |   | (Amounts in thousands) |   |
|                                       |   |                   |   |   |              |   |
| Insurance                                  |   | $                      | 3,483  |   |              | $      | 3,697 |   |
| Pension liabilities                        |   |                   | 11,211 |   |              |   | 10,744 |   |
| Multiemployer pension withdrawal liability |   |                   | 3,442  |   |              |   | 3,492 |   |
| Product warranty                           |   |                   | 32,333 |   |              |   | 33,584 |   |
| Long-term product claim liability          |   |                   | 1,313  |   |              |   | 1,396 |   |
| Long-term deferred compensation            |   |                   | 3,549  |   |              |   | 3,416 |   |
| Liabilities for tax uncertainties          |   |                   | 9,120  |   |              |   | 7,806 |   |
| Other                                      |   |                   | 4,134  |   |              |   | 4,098 |   |
|                                       |   | $                      | 68,585 |   |              | $      | 68,233 |   |

----

| (amounts in thousands)      |   | Accrued as of     |   |   | Adjustments |   |   | Cash payments |   |   | Expensed    |   |   | Accrued as of |   |
|-----------------------------|--------|-------------------|--------|--------|-------------|--------|--------|---------------|--------|--------|-------------|--------|--------|---------------|--------|
|                        |   | December 31, 2008 |   |   | During 2009 |   |   | During 2009   |   |   | During 2009 |   |   | April 4, 2009 |   |
| Valencia                    |   |              |   |   |        |   |   |          |   |   |        |   |   |          |   |
| Severance costs             |   | $                 | 243    |   |        | $      | -      |          |   | $      | (359        | )      |   | $             | 116    |   |   | $ | - |   |
| Equipment removal and other |   |              | -      |   |        |   | -      |          |   |   | (618        | )      |   |          | 618    |   |   |   | - |   |
|                        |   | $                 | 243    |   |        | $      | -      |          |   | $      | (977        | )      |   | $             | 734    |   |   | $ | - |   |
|                        |   |              |   |   |        |   |   |          |   |   |        |   |   |          |   |   |   |   |   |   |
| Hammonton                   |   |              |   |   |        |   |   |          |   |   |        |   |   |          |   |   |   |   |   |   |
| Severance costs             |   | $                 | 217    |   |        | $      | -      |          |   | $      | (462        | )      |   | $             | 688    |   |   | $ | 443 |   |
| Other termination benefits  |   |              | -      |   |        |   | 136    |          |   |   | (59         | )      |   |          | -      |   |   |   | 77 |   |
| Equipment removal and other |   |              | -      |   |        |   | -      |          |   |   | (63         | )      |   |          | 63     |   |   |   | - |   |
|                        |   | $                 | 217    |   |        | $      | 136    |          |   | $      | (584        | )      |   | $             | 751    |   |   | $ | 520 |   |
|                        |   |              |   |   |        |   |   |          |   |   |        |   |   |          |   |   |   |   |   |   |
| Phoenix                     |   |              |   |   |        |   |   |          |   |   |        |   |   |          |   |   |   |   |   |   |
| Severance costs             |   | $                 | 11     |   |        | $      | -      |          |   | $      | (43         | )      |   | $             | 32     |   |   | $ | - |   |
| Other termination benefits  |   |              | -      |   |        |   | 23     |          |   |   | (16         | )      |   |          | -      |   |   |   | 7 |   |
| Contract terminations       |   |              | -      |   |        |   | -      |          |   |   | (122        | )      |   |          | 1,597  |   |   |   | 1,475 |   |
| Equipment removal and other |   |              | -      |   |        |   | -      |          |   |   | (184        | )      |   |          | 184    |   |   |   | - |   |
|                        |   | $                 | 11     |   |        | $      | 23     |          |   | $      | (365        | )      |   | $             | 1,813  |   |   | $ | 1,482 |   |

----

----

|                                         |   | Stock Options |    |   | Weighted-Average ExercisePrice |   |   | Weighted-Average Remaining Contractual Term (Years) |   |
|----------------------------------------------|--------|---------------|---------|--------|--------------------------------|--------|--------|-----------------------------------------------------|--------|
|                                         |   |          |    |   |                           |   |   |                                                |   |
| Balance at January 1, 2009                   |   |          | 314,694 |   |                           | $      | 48.79  |                                                |   |   | 7.83 |   |
|     Granted              |   |          | -       |   |                           |   | -      |                                                |   |   | - |   |
|     Forfeited or expired |   |          | -       |   |                           |   | -      |                                                |   |   | - |   |
| Balance at April 4, 2009                     |   |          | 314,694 |   |                           | $      | 48.79  |                                                |   |   | 7.57 |   |

|                                       |   | Common StockShares Owned byManagement |    |
|--------------------------------------------|--------|---------------------------------------|---------|
| Balance at January 1, 2009                 |   |                                  | 642,895 |   |
|     Shares issued      |   |                                  | -       |   |
|     Shares repurchased |   |                                  | -       |   |
| Balance at April 4, 2009                   |   |                                  | 642,895 |   |

----

|                       |   | Three months ended     |           |
|----------------------------|--------|------------------------|----------------|
|                       |   | April 4, 2009          |           |   | March 29, 2008 |   |
|                       |   | (Amounts in thousands) |           |
| Net Sales                  |   |                   |           |   |   |   |
| Siding, Fencing, and Stone |   | $                      | 108,460        |   |   | $ | 147,060 |   |
| Windows and Doors          |   |                   | 74,291         |   |   |   | 109,313 |   |
|                       |   | $                      | 182,751        |   |   | $ | 256,373 |   |
|                       |   |                   |           |   |   |   |   |   |
| Operating Earnings (loss)  |   |                   |           |   |   |   |   |   |
| Siding, Fencing, and Stone |   | $                      | (7,517         | ) |   | $ | (4,186 | ) |
| Windows and Doors          |   |                   | (21,682        | ) |   |   | (7,605 | ) |
| Unallocated                |   |                   | (3,609         | ) |   |   | (2,493 | ) |
|                       |   | $                      | (32,808        | ) |   | $ | (14,284 | ) |
|                       |   |                   |           |   |   |   |   |   |
|                       |   |                   |           |   |   |   |   |   |
|                       |   | As of                  |           |   | As of |   |
|                       |   | April 4, 2009          |           |   | December 31, 2008 |   |
|                       |   |                   | (Restated) (1) |   |   |   |   |   |
| Total assets               |   |                   |           |   |   |   |   |   |
| Siding, Fencing, and Stone |   | $                      | 641,419        |   |   | $ | 655,183 |   |
| Windows and Doors          |   |                   | 339,541        |   |   |   | 357,471 |   |
| Unallocated                |   |                   | 56,895         |   |   |   | 91,399 |   |
|                       |   | $                      | 1,037,855      |   |   | $ | 1,104,053 |   |

----

| PLY GEM HOLDINGS, INC. AND SUBSIDIARIES              |   |
|------------------------------------------------------|--------|
| CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS     |   |
| For the three months ended April 4, 2009             |   |
|                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                 |   | Guarantor |   |   | Issuer |   |   |   |   |   | Non- |   |   |   |   |   |   |   |
|                                                 |   | Ply Gem |   |   | Ply Gem |   |   | Guarantor |   |   | Guarantor |   |   | Consolidating |   |   |   |   |
|                                                 |   | Holdings, Inc. |   |   | Industries, Inc. |   |   | Subsidiaries |   |   | Subsidiary |   |   | Adjustments |   |   | Consolidated |   |
|                                                 |   |  (Restated) (1) |   |   |  (Restated) (1) |   |   |  (Restated) (1) |   |   |  (Restated) (1) |   |   |  (Restated) (1) |   |   |  (Restated) (1) |   |
|                                                 |   | (Amounts in thousands) |   |
|                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net sales                                            |   | $ | - |   |   | $ | - |   |   | $ | 173,623 |   |   | $ | 9,128 |   |   | $ | - |   |   | $ | 182,751 |   |
| Costs and expenses:                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Cost of products sold                                |   |   | - |   |   |   | - |   |   |   | 162,592 |   |   |   | 7,099 |   |   |   | - |   |   |   | 169,691 |   |
| Selling, general and                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|     administrative expenses      |   |   | - |   |   |   | 3,609 |   |   |   | 34,747 |   |   |   | 2,606 |   |   |   | - |   |   |   | 40,962 |   |
| Intercompany administrative                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|     charges                      |   |   | - |   |   |   | - |   |   |   | 1,737 |   |   |   | - |   |   |   | (1,737 | ) |   |   | - |   |
| Amortization of intangible assets                    |   |   | - |   |   |   | - |   |   |   | 4,906 |   |   |   | - |   |   |   | - |   |   |   | 4,906 |   |
| Total costs and expenses                             |   |   | - |   |   |   | 3,609 |   |   |   | 203,982 |   |   |   | 9,705 |   |   |   | (1,737 | ) |   |   | 215,559 |   |
| Operating loss                                       |   |   | - |   |   |   | (3,609 | ) |   |   | (30,359 | ) |   |   | (577 | ) |   |   | 1,737 |   |   |   | (32,808 | ) |
| Foreign currency loss                                |   |   | - |   |   |   | - |   |   |   | - |   |   |   | (88 | ) |   |   | - |   |   |   | (88 | ) |
| Intercompany interest                                |   |   | - |   |   |   | 30,351 |   |   |   | (29,842 | ) |   |   | (509 | ) |   |   | - |   |   |   | - |   |
| Interest expense                                     |   |   | - |   |   |   | (33,756 | ) |   |   | - |   |   |   | - |   |   |   | - |   |   |   | (33,756 | ) |
| Interest income                                      |   |   | - |   |   |   | 9 |   |   |   | 55 |   |   |   | 1 |   |   |   | - |   |   |   | 65 |   |
| Intercompany administrative income                   |   |   | - |   |   |   | 1,737 |   |   |   | - |   |   |   | - |   |   |   | (1,737 | ) |   |   | - |   |
| Loss before equity in                                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    subsidiaries' loss                 |   |   | - |   |   |   | (5,268 | ) |   |   | (60,146 | ) |   |   | (1,173 | ) |   |   | - |   |   |   | (66,587 | ) |
| Equity in subsidiaries' loss                         |   |   | (55,538 | ) |   |   | (51,144 | ) |   |   | - |   |   |   | - |   |   |   | 106,682 |   |   |   | - |   |
| Loss before benefit for                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    income taxes                       |   |   | (55,538 | ) |   |   | (56,412 | ) |   |   | (60,146 | ) |   |   | (1,173 | ) |   |   | 106,682 |   |   |   | (66,587 | ) |
| Benefit for income taxes                             |   |   | - |   |   |   | (874 | ) |   |   | (9,854 | ) |   |   | (321 | ) |   |   | - |   |   |   | (11,049 | ) |
| Net loss                                             |   | $ | (55,538 | ) |   | $ | (55,538 | ) |   | $ | (50,292 | ) |   | $ | (852 | ) |   | $ | 106,682 |   |   | $ | (55,538 | ) |
|                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Other comprehensive income (loss):                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   Foreign currency translation adjustments |   |   | - |   |   |   | - |   |   |   | - |   |   |   | (407 | ) |   |   | - |   |   |   | (407 | ) |
| Total comprehensive loss                             |   | $ | (55,538 | ) |   | $ | (55,538 | ) |   | $ | (50,292 | ) |   | $ | (1,259 | ) |   | $ | 106,682 |   |   | $ | (55,945 | ) |

----

| PLY GEM HOLDINGS, INC. AND SUBSIDIARIES              |   |
|------------------------------------------------------|--------|
| CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS     |   |
| For the three months ended March 29, 2008            |   |
|                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                 |   | Guarantor |   |   | Issuer |   |   |   |   |   | Non- |   |   |   |   |   |   |   |
|                                                 |   | Ply Gem |   |   | Ply Gem |   |   | Guarantor |   |   | Guarantor |   |   | Consolidating |   |   |   |   |
|                                                 |   | Holdings, Inc. |   |   | Industries, Inc. |   |   | Subsidiaries |   |   | Subsidiary |   |   | Adjustments |   |   | Consolidated |   |
|                                                 |   | (Amounts in thousands) |   |
|                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net sales                                            |   | $ | - |   |   | $ | - |   |   | $ | 236,696 |   |   | $ | 19,677 |   |   | $ | - |   |   | $ | 256,373 |   |
| Costs and expenses:                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Cost of products sold                                |   |   | - |   |   |   | - |   |   |   | 212,291 |   |   |   | 13,590 |   |   |   | - |   |   |   | 225,881 |   |
| Selling, general and                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|     administrative expenses      |   |   | - |   |   |   | 2,493 |   |   |   | 33,419 |   |   |   | 3,950 |   |   |   | - |   |   |   | 39,862 |   |
| Intercompany administrative                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|     charges                      |   |   | - |   |   |   | - |   |   |   | 2,368 |   |   |   | - |   |   |   | (2,368 | ) |   |   | - |   |
| Amortization of intangible assets                    |   |   | - |   |   |   | - |   |   |   | 4,914 |   |   |   | - |   |   |   | - |   |   |   | 4,914 |   |
| Total costs and expenses                             |   |   | - |   |   |   | 2,493 |   |   |   | 252,992 |   |   |   | 17,540 |   |   |   | (2,368 | )  |   |   | 270,657 |   |
| Operating earnings (loss)                            |   |   | - |   |   |   | (2,493 | ) |   |   | (16,296 | ) |   |   | 2,137 |   |   |   | 2,368 |   |   |   | (14,284 | ) |
| Foreign currency loss                                |   |   | - |   |   |   | - |   |   |   | - |   |   |   | (551 | ) |   |   | - |   |   |   | (551 | ) |
| Intercompany interest                                |   |   | - |   |   |   | 22,158 |   |   |   | (22,158 | ) |   |   | - |   |   |   | - |   |   |   | - |   |
| Interest expense                                     |   |   | - |   |   |   | (22,689 | ) |   |   | 16 |   |   |   | (401 | ) |   |   | - |   |   |   | (23,074 | ) |
| Interest income                                      |   |   | - |   |   |   | 161 |   |   |   | 3 |   |   |   | 39 |   |   |   | - |   |   |   | 203 |   |
| Intercompany administrative income                   |   |   | - |   |   |   | 2,368 |   |   |   | - |   |   |   | - |   |   |   | (2,368 | ) |   |   | - |   |
| Income (loss) before equity in                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    subsidiaries' income (loss)        |   |   | - |   |   |   | (495 | ) |   |   | (38,435 | ) |   |   | 1,224 |   |   |   | - |   |   |   | (37,706 | ) |
| Equity in subsidiaries' income (loss)                |   |   | (21,842 | ) |   |   | (21,555 | ) |   |   | - |   |   |   | - |   |   |   | 43,397 |   |   |   | - |   |
| Income (loss) before benefit for                     |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    income taxes                       |   |   | (21,842 | ) |   |   | (22,050 | ) |   |   | (38,435 | ) |   |   | 1,224 |   |   |   | 43,397 |   |   |   | (37,706 | ) |
| Provision (benefit) for income taxes                 |   |   | - |   |   |   | (208 | ) |   |   | (16,060 | ) |   |   | 404 |   |   |   | - |   |   |   | (15,864 | ) |
| Net income (loss)                                    |   | $ | (21,842 | ) |   | $ | (21,842 | ) |   | $ | (22,375 | ) |   | $ | 820 |   |   | $ | 43,397 |   |   | $ | (21,842 | ) |
|                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Other comprehensive income (loss):                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   Foreign currency translation adjustments |   |   | - |   |   |   | - |   |   |   | - |   |   |   | (1,173 | ) |   |   | - |   |   |   | (1,173 | ) |
| Total comprehensive loss                             |   | $ | (21,842 | ) |   | $ | (21,842 | ) |   | $ | (22,375 | ) |   | $ | (353 | ) |   | $ | 43,397 |   |   | $ | (23,015 | ) |

----

| PLY GEM HOLDINGS, INC. AND SUBSIDIARIES                 |   |
|---------------------------------------------------------|--------|
| CONDENSED CONSOLIDATING BALANCE SHEET                   |   |
| As of April 4, 2009                                     |   |
|                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                    |   | Guarantor |   |   | Issuer |   |   |   |   |   | Non- |   |   |   |   |   |   |   |
|                                                    |   | Ply Gem |   |   | Ply Gem |   |   | Guarantor |   |   | Guarantor |   |   | Consolidating |   |   |   |   |
|                                                    |   | Holdings, Inc. |   |   | Industries, Inc. |   |   | Subsidiaries |   |   | Subsidiary |   |   | Adjustments |   |   | Consolidated |   |
|                                                    |   | (Restated) (1) |   |   | (Restated) (1) |   |   | (Restated) (1) |   |   | (Restated) (1) |   |   | (Restated) (1) |   |   | (Restated) (1) |   |
|                                                    |   | (Amounts in thousands) |   |
| ASSETS                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Current Assets:                                         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Cash and cash equivalents                               |   | $ | - |   |   | $ | 13,704 |   |   | $ | 783 |   |   | $ | 2,728 |   |   | $ | - |   |   | $ | 17,215 |   |
| Accounts receivable, net                                |   |   | - |   |   |   | - |   |   |   | 101,661 |   |   |   | 4,748 |   |   |   | - |   |   |   | 106,409 |   |
| Inventories:                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    Raw materials                         |   |   | - |   |   |   | - |   |   |   | 41,259 |   |   |   | 3,562 |   |   |   | - |   |   |   | 44,821 |   |
|    Work in process                       |   |   | - |   |   |   | - |   |   |   | 23,973 |   |   |   | 944 |   |   |   | - |   |   |   | 24,917 |   |
|    Finished goods                        |   |   | - |   |   |   | - |   |   |   | 34,967 |   |   |   | 1,613 |   |   |   | - |   |   |   | 36,580 |   |
|    Total inventory                       |   |   | - |   |   |   | - |   |   |   | 100,199 |   |   |   | 6,119 |   |   |   | - |   |   |   | 106,318 |   |
| Prepaid expenses and other                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    current assets                        |   |   | - |   |   |   | 3,770 |   |   |   | 17,356 |   |   |   | 1,681 |   |   |   | - |   |   |   | 22,807 |   |
| Deferred income taxes                                   |   |   | - |   |   |   | - |   |   |   | 702 |   |   |   | 2,943 |   |   |   | - |   |   |   | 3,645 |   |
|      Total current assets      |   |   | - |   |   |   | 17,474 |   |   |   | 220,701 |   |   |   | 18,219 |   |   |   | - |   |   |   | 256,394 |   |
| Investments in subsidiaries                             |   |   | (298,563 | ) |   |   | (283,818 | ) |   |   | - |   |   |   | - |   |   |   | 582,381 |   |   |   | - |   |
| Property and Equipment, at cost:                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Land                                                    |   |   | - |   |   |   | - |   |   |   | 3,567 |   |   |   | 142 |   |   |   | - |   |   |   | 3,709 |   |
| Buildings and improvements                              |   |   | - |   |   |   | - |   |   |   | 34,406 |   |   |   | 829 |   |   |   | - |   |   |   | 35,235 |   |
| Machinery and equipment                                 |   |   | - |   |   |   | 1,356 |   |   |   | 248,395 |   |   |   | 5,772 |   |   |   | - |   |   |   | 255,523 |   |
|                                                    |   |   | - |   |   |   | 1,356 |   |   |   | 286,368 |   |   |   | 6,743 |   |   |   | - |   |   |   | 294,467 |   |
| Less accumulated depreciation                           |   |   | - |   |   |   | (299 | ) |   |   | (128,134 | ) |   |   | (2,627 | ) |   |   | - |   |   |   | (131,060 | ) |
| Total property and equipment, net                       |   |   | - |   |   |   | 1,057 |   |   |   | 158,234 |   |   |   | 4,116 |   |   |   | - |   |   |   | 163,407 |   |
| Other Assets:                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Intangible assets, net                                  |   |   | - |   |   |   | - |   |   |   | 188,698 |   |   |   | - |   |   |   | - |   |   |   | 188,698 |   |
| Goodwill                                                |   |   | - |   |   |   | - |   |   |   | 381,852 |   |   |   | 8,833 |   |   |   | - |   |   |   | 390,685 |   |
| Deferred income taxes                                   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |
| Intercompany note receivable                            |   |   | - |   |   |   | 1,104,260 |   |   |   | - |   |   |   | - |   |   |   | (1,104,260 | ) |   |   | - |   |
| Other                                                   |   |   | - |   |   |   | 38,364 |   |   |   | 307 |   |   |   | - |   |   |   | - |   |   |   | 38,671 |   |
|     Total other assets              |   |   | - |   |   |   | 1,142,624 |   |   |   | 570,857 |   |   |   | 8,833 |   |   |   | (1,104,260 | ) |   |   | 618,054 |   |
|                                                    |   | $ | (298,563 | ) |   | $ | 877,337 |   |   | $ | 949,792 |   |   | $ | 31,168 |   |   | $ | (521,879 | ) |   | $ | 1,037,855 |   |
|                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| LIABILITIES AND STOCKHOLDER'S EQUITY (DEFICIT)          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Current Liabilities:                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Accounts payable                                        |   | $ | - |   |   | $ | 1,326 |   |   | $ | 44,527 |   |   | $ | 2,237 |   |   | $ | - |   |   | $ | 48,090 |   |
| Accrued expenses and taxes                              |   |   | - |   |   |   | 36,832 |   |   |   | 57,865 |   |   |   | 613 |   |   |   | - |   |   |   | 95,310 |   |
|      Total current liabilities |   |   | - |   |   |   | 38,158 |   |   |   | 102,392 |   |   |   | 2,850 |   |   |   | - |   |   |   | 143,400 |   |
| Deferred income taxes                                   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |
| Intercompany note payable                               |   |   | - |   |   |   | - |   |   |   | 1,088,998 |   |   |   | 15,262 |   |   |   | (1,104,260 | ) |   |   | - |   |
| Other long term liabilities                             |   |   | - |   |   |   | 13,309 |   |   |   | 54,375 |   |   |   | 901 |   |   |   | - |   |   |   | 68,585 |   |
| Long-term debt                                          |   |   | - |   |   |   | 1,124,433 |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 1,124,433 |   |
| Commitments and contingencies                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Stockholder's Equity (Deficit):                         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Preferred stock                                         |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |
| Common stock                                            |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |
| Additional paid-in-capital                              |   |   | 209,919 |   |   |   | 209,919 |   |   |   | 183,873 |   |   |   | 5,180 |   |   |   | (398,972 | ) |   |   | 209,919 |   |
| Retained earnings (accumulated deficit)                 |   |   | (502,531 | ) |   |   | (502,531 | ) |   |   | (479,846 | ) |   |   | 7,986 |   |   |   | 974,391 |   |   |   | (502,531 | ) |
| Accumulated other                                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    comprehensive income (loss)           |   |   | (5,951 | ) |   |   | (5,951 | ) |   |   | - |   |   |   | (1,011 | ) |   |   | 6,962 |   |   |   | (5,951 | ) |
|                                                    |   | $ | (298,563 | ) |   | $ | 877,337 |   |   | $ | 949,792 |   |   | $ | 31,168 |   |   | $ | (521,879 | ) |   | $ | 1,037,855 |   |

----

| PLY GEM HOLDINGS, INC. AND SUBSIDIARIES                 |   |
|---------------------------------------------------------|--------|
| CONDENSED CONSOLIDATING BALANCE SHEET                   |   |
| As of December 31, 2008                                 |   |
|                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                    |   | Guarantor |   |   | Issuer |   |   |   |   |   | Non- |   |   |   |   |   |   |   |
|                                                    |   | Ply Gem |   |   | Ply Gem |   |   | Guarantor |   |   | Guarantor |   |   | Consolidating |   |   |   |   |
|                                                    |   | Holdings, Inc. |   |   | Industries, Inc. |   |   | Subsidiaries |   |   | Subsidiary |   |   | Adjustments |   |   | Consolidated |   |
|                                                    |   | (Amounts in thousands) |   |
| ASSETS                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Current Assets:                                         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Cash and cash equivalents                               |   | $ | - |   |   | $ | 46,181 |   |   | $ | 4,490 |   |   | $ | 7,618 |   |   | $ | - |   |   | $ | 58,289 |   |
| Accounts receivable, net                                |   |   | - |   |   |   | - |   |   |   | 83,537 |   |   |   | 6,990 |   |   |   | - |   |   |   | 90,527 |   |
| Inventories:                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    Raw materials                         |   |   | - |   |   |   | - |   |   |   | 49,448 |   |   |   | 3,612 |   |   |   | - |   |   |   | 53,060 |   |
|    Work in process                       |   |   | - |   |   |   | - |   |   |   | 27,137 |   |   |   | 948 |   |   |   | - |   |   |   | 28,085 |   |
|    Finished goods                        |   |   | - |   |   |   | - |   |   |   | 40,133 |   |   |   | 2,134 |   |   |   | - |   |   |   | 42,267 |   |
|    Total inventory                       |   |   | - |   |   |   | - |   |   |   | 116,718 |   |   |   | 6,694 |   |   |   | - |   |   |   | 123,412 |   |
| Prepaid expenses and other                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    current assets                        |   |   | - |   |   |   | 3,956 |   |   |   | 15,559 |   |   |   | 470 |   |   |   | - |   |   |   | 19,985 |   |
| Deferred income taxes                                   |   |   | - |   |   |   | - |   |   |   | 13,924 |   |   |   | 2,943 |   |   |   | - |   |   |   | 16,867 |   |
|      Total current assets      |   |   | - |   |   |   | 50,137 |   |   |   | 234,228 |   |   |   | 24,715 |   |   |   | - |   |   |   | 309,080 |   |
| Investments in subsidiaries                             |   |   | (242,628 | ) |   |   | (289,731 | ) |   |   | - |   |   |   | - |   |   |   | 532,359 |   |   |   | - |   |
| Property and Equipment, at cost:                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Land                                                    |   |   | - |   |   |   | - |   |   |   | 3,565 |   |   |   | 144 |   |   |   | - |   |   |   | 3,709 |   |
| Buildings and improvements                              |   |   | - |   |   |   | - |   |   |   | 34,378 |   |   |   | 828 |   |   |   | - |   |   |   | 35,206 |   |
| Machinery and equipment                                 |   |   | - |   |   |   | 1,246 |   |   |   | 246,211 |   |   |   | 5,833 |   |   |   | - |   |   |   | 253,290 |   |
|                                                    |   |   | - |   |   |   | 1,246 |   |   |   | 284,154 |   |   |   | 6,805 |   |   |   | - |   |   |   | 292,205 |   |
| Less accumulated depreciation                           |   |   | - |   |   |   | (257 | ) |   |   | (119,426 | ) |   |   | (2,511 | ) |   |   | - |   |   |   | (122,194 | ) |
| Total property and equipment, net                       |   |   | - |   |   |   | 989 |   |   |   | 164,728 |   |   |   | 4,294 |   |   |   | - |   |   |   | 170,011 |   |
| Other Assets:                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Intangible assets, net                                  |   |   | - |   |   |   | - |   |   |   | 193,604 |   |   |   | - |   |   |   | - |   |   |   | 193,604 |   |
| Goodwill                                                |   |   | - |   |   |   | - |   |   |   | 381,854 |   |   |   | 8,925 |   |   |   | - |   |   |   | 390,779 |   |
| Intercompany note receivable                            |   |   | - |   |   |   | 1,107,260 |   |   |   | - |   |   |   | - |   |   |   | (1,107,260 | ) |   |   | - |   |
| Other                                                   |   |   | - |   |   |   | 40,273 |   |   |   | 306 |   |   |   | - |   |   |   | - |   |   |   | 40,579 |   |
|     Total other assets              |   |   | - |   |   |   | 1,147,533 |   |   |   | 575,764 |   |   |   | 8,925 |   |   |   | (1,107,260 | ) |   |   | 624,962 |   |
|                                                    |   | $ | (242,628 | ) |   | $ | 908,928 |   |   | $ | 974,720 |   |   | $ | 37,934 |   |   | $ | (574,901 | ) |   | $ | 1,104,053 |   |
|                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| LIABILITIES AND STOCKHOLDER'S EQUITY (DEFICIT)          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Current Liabilities:                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Accounts payable                                        |   | $ | - |   |   | $ | 1,070 |   |   | $ | 55,304 |   |   | $ | 3,229 |   |   | $ | - |   |   | $ | 59,603 |   |
| Accrued expenses and taxes                              |   |   | - |   |   |   | 24,600 |   |   |   | 49,795 |   |   |   | 1,909 |   |   |   | - |   |   |   | 76,304 |   |
|      Total current liabilities |   |   | - |   |   |   | 25,670 |   |   |   | 105,099 |   |   |   | 5,138 |   |   |   | - |   |   |   | 135,907 |   |
| Deferred income taxes                                   |   |   | - |   |   |   | - |   |   |   | 28,355 |   |   |   | - |   |   |   | - |   |   |   | 28,355 |   |
| Intercompany note payable                               |   |   | - |   |   |   | - |   |   |   | 1,088,999 |   |   |   | 18,261 |   |   |   | (1,107,260 | ) |   |   | - |   |
| Other long term liabilities                             |   |   | - |   |   |   | 11,700 |   |   |   | 55,623 |   |   |   | 910 |   |   |   | - |   |   |   | 68,233 |   |
| Long-term debt, less current                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    maturities                            |   |   | - |   |   |   | 1,114,186 |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 1,114,186 |   |
| Commitments and contingencies                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Stockholder's Equity (Deficit):                         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Preferred stock                                         |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |
| Common stock                                            |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |
| Additional paid-in-capital                              |   |   | 209,908 |   |   |   | 209,908 |   |   |   | 126,198 |   |   |   | 5,389 |   |   |   | (341,495 | ) |   |   | 209,908 |   |
| Retained earnings (accumulated deficit)                 |   |   | (446,993 | ) |   |   | (446,993 | ) |   |   | (429,554 | ) |   |   | 8,838 |   |   |   | 867,709 |   |   |   | (446,993 | ) |
| Accumulated other                                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    comprehensive loss               |   |   | (5,543 | ) |   |   | (5,543 | ) |   |   | - |   |   |   | (602 | ) |   |   | 6,145 |   |   |   | (5,543 | ) |
|                                                    |   | $ | (242,628 | ) |   | $ | 908,928 |   |   | $ | 974,720 |   |   | $ | 37,934 |   |   | $ | (574,901 | ) |   | $ | 1,104,053 |   |

  28   PLY GEM HOLDINGS, INC. AND SUBSIDIARIES CONSOLIDATING STATEMENT OF CASH FLOWS For the three months ended April 4, 2009                        Guarantor  Issuer     Non-          Ply Gem  Ply Gem  Guarantor  Guarantor  Consolidating       Holdings, Inc.  Industries, Inc.  Subsidiaries  Subsidiary  Adjustments  Consolidated    (Restated) (1)  (Restated) (1)  (Restated) (1)  (Restated) (1)  (Restated) (1)  (Restated) (1)    (Amounts in thousands) Cash flows from operating                  activities:                  Net loss $(55,538) $(55,538) $(50,292) $(852) $106,682  $(55,538)Adjustments to reconcile net                        loss to cash provided by                        (used in) operating activities:                        Depreciation and amortization                           expense  -   43   13,683   170   -   13,896 Non-cash interest expense, net  -   2,044   -   -   -   2,044 Loss on foreign currency transactions  -   -   -   88   -   88 Gain on sale of assets  -   -   (1)  -   -   (1)Deferred income taxes  -   -   (15,133)  37   -   (15,096)Equity in subsidiaries' net income (loss)  55,538   51,144   -   -   (106,682)  - Changes in operating assets and                           liabilities:                        Accounts receivable, net  -   -   (18,124)  2,198   -   (15,926)Inventories  -   -   16,519   525   -   17,044 Prepaid expenses and other                           current assets  -   184   (1,800)  (1,201)  -   (2,817)Accounts payable  -   256   (10,696)  (1,074)  -   (11,514)Accrued expenses and taxes  -   13,979   2,301   5,125   -   21,405 Cash payments on restructuring liabilities  -   -   (1,926)  -   -   (1,926)Other  -   11   (31)  (355)  -   (375)    Net cash provided by (used in)                            operating activities  -   12,123   (65,500)  4,661   -   (48,716)Cash flows from investing                        activities:                        Capital expenditures  -   (109)  (2,301)  (36)  -   (2,446)Proceeds from sale of assets  -   -   21   -   -   21 Other  -   -   -   -   -   -     Net cash used in                            investing activities  -   (109)  (2,280)  (36)  -   (2,425)Cash flows from financing                        activities:                        Proceeds from revolver borrowings  -   10,000   -   -   -   10,000 Proceeds from intercompany                      -    investment  -   (54,465)  64,073   (9,608)  -   - Debt issuance costs paid  -   (26)  -   -   -   (26)    Net cash provided by (used in)                            financing activities  -   (44,491)  64,073   (9,608)  -   9,974 Impact of exchange rate movement                            on cash  -   -   -   93   -   93 Net decrease in cash                            and cash equivalents  -   (32,477)  (3,707)  (4,890)  -   (41,074)Cash and cash equivalents at the                            beginning of the period  -   46,181   4,490   7,618   -   58,289 Cash and cash equivalents at the end                            of the period $-  $13,704  $783  $2,728  $-  $17,215                           (1) See note 2, "Restatement of Unaudited Condensed Consolidated Financial Statements" of the Notes to Unaudited Condensed Consolidated Financial Statements.  29  PLY GEM HOLDINGS, INC. AND SUBSIDIARIES CONSOLIDATING STATEMENT OF CASH FLOWS For the three months ended March 29, 2008                        Guarantor  Issuer     Non-          Ply Gem  Ply Gem  Guarantor  Guarantor  Consolidating       Holdings, Inc.  Industries, Inc.  Subsidiaries  Subsidiary  Adjustments  Consolidated    (Amounts in thousands) Cash flows from operating                  activities:                  Net income (loss) $(21,842) $(21,842) $(22,375) $820  $43,397  $(21,842)Adjustments to reconcile net                        income (loss) to cash provided by                        (used in) operating activities:                        Depreciation and amortization                           expense  -   10   15,816   200   -   16,026 Non-cash interest expense, net  -   1,745   -   -   -   1,745 Loss on foreign currency transactions  -   -   -   551   -   551 Loss on sale of assets  -   -   323   -   -   323 Deferred income taxes  -   -   316   145   -   461 Equity in subsidiaries' net income (loss)  21,842   21,555   -   -   (43,397)  - Changes in operating assets and                           liabilities:                        Accounts receivable, net  -   -   (24,965)  (103)  -   (25,068)Inventories  -   -   6,280   197   -   6,477 Prepaid expenses and other                           current assets  -   (175)  (3,214)  15   -   (3,374)Accounts payable  -   (6)  12,944   (1,028)  -   11,910 Accrued expenses and taxes  -   2,713   (29,351)  (3,801)  -   (30,439)Cash payments on restructuring liabilities  -   -   (1,919)  -   -   (1,919)Other  -   (1)  9   13   -   21     Net cash provided by (used in)                            operating activities  -   3,999   (46,136)  (2,991)  -   (45,128)Cash flows from investing                        activities:                        Capital expenditures  -   (100)  (4,525)  (56)  -   (4,681)Proceeds from sale of assets  -   5,810   -   -   -   5,810 Acquisitions, net of cash acquired  -   (15)  -   -   -   (15)    Net cash provided by (used in)                            investing activities  -   5,695   (4,525)  (56)  -   1,114 Cash flows from financing                        activities:                        Proceeds from revolver borrowings  -   15,000   -   -   -   15,000 Proceeds from intercompany                      -    investment  -   (50,750)  50,750   -   -   - Payments on long-term debt  -   -   -   (51)  -   (51)Equity repurchases  -   (126)  -   -   -   (126)    Net cash provided by (used in)                            financing activities  -   (35,876)  50,750   (51)  -   14,823 Impact of exchange rate movement                            on cash  -   -   -   (249)  -   (249)Net increase (decrease) in cash                            and cash equivalents  -   (26,182)  89   (3,347)  -   (29,440)Cash and cash equivalents at the                            beginning of the period  -   40,446   5,423   6,184   -   52,053 Cash and cash equivalents at the end                            of the period $-  $14,264  $5,512  $2,837  $-  $22,613 

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Item 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION

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|                                         |   | Three months ended            |    |
|----------------------------------------------|--------|-------------------------------|---------|
|                                         |   | April 4, 2009                 |    |   | March 29, 2008 |   |
|                                         |   |  (Restated) (1)          |    |   |   |   |
|                                         |   | (unaudited)                   |    |   | (unaudited) |   |
| Net Sales                                    |   |   (Amounts in thousands) |    |
|    Siding, Fencing, and Stone |   | $                             | 108,460 |   |   | $ | 147,060 |   |
|    Windows and Doors          |   |                          | 74,291  |   |   |   | 109,313 |   |
| Operating loss                               |   |                          |    |   |   |   |   |   |
|    Siding, Fencing, and Stone |   |                          | (7,517  | ) |   |   | (4,186 | ) |
|    Windows and Doors          |   |                          | (21,682 | ) |   |   | (7,605 | ) |
|    Unallocated                |   |                          | (3,609  | ) |   |   | (2,493 | ) |
| Foreign currency loss                        |   |                          |    |   |   |   |   |   |
|    Windows and Doors          |   |                          | (88     | ) |   |   | (551 | ) |
| Interest expense, net                        |   |                          |    |   |   |   |   |   |
|    Siding, Fencing, and Stone |   |                          | 55      |   |   |   | 16 |   |
|    Windows and Doors          |   |                          | 1       |   |   |   | (359 | ) |
|    Unallocated                |   |                          | (33,747 | ) |   |   | (22,528 | ) |
| Income tax benefit                           |   |                          |    |   |   |   |   |   |
|    Unallocated                |   |                          | 11,049  |   |   |   | 15,864 |   |
|                                         |   |                          |    |   |   |   |   |   |
| Net loss                                     |   |                          | (55,538 | ) |   |   | (21,842 | ) |

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|                              |   | For the three months ended |    |
|-----------------------------------|--------|----------------------------|---------|
| (dollars in thousands)            |   | April 4, 2009              |    |   | March 29, 2008 |   |
|                              |   | (unaudited)                |    |   | (unaudited) |   |
| Statement of operations data:     |   |                       |    |   |   |   |   |   |   |   |   |   |
| Net sales                         |   | $                          | 108,460 |   |   |   | 100 | % |   | $ | 147,060 |   |   |   | 100 | % |
| Cost of products sold             |   |                       | 95,475  |   |   |   | 88.0 | % |   |   | 130,538 |   |   |   | 88.8 | % |
| Gross profit                      |   |                       | 12,985  |   |   |   | 12.0 | % |   |   | 16,522 |   |   |   | 11.2 | % |
| SG&A expenses                 |   |                       | 18,372  |   |   |   | 16.9 | % |   |   | 18,571 |   |   |   | 12.6 | % |
| Amortization of intangible assets |   |                       | 2,130   |   |   |   | 2.0 | % |   |   | 2,137 |   |   |   | 1.5 | % |
| Operating loss                    |   | $                          | (7,517  | ) |   |   | -6.9 | % |   | $ | (4,186 | ) |   |   | -2.8 | % |

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|                              |   | For the three months ended |    |
|-----------------------------------|--------|----------------------------|---------|
| (dollars in thousands)            |   | April 4, 2009              |    |   | March 29, 2008 |   |
|                              |   | (unaudited)                |    |   | (unaudited) |   |
| Statement of operations data:     |   |                       |    |   |   |   |   |   |   |   |   |   |
| Net sales                         |   | $                          | 74,291  |   |   |   | 100 | % |   | $ | 109,313 |   |   |   | 100 | % |
| Cost of products sold             |   |                       | 74,216  |   |   |   | 99.9 | % |   |   | 95,343 |   |   |   | 87.2 | % |
| Gross profit                      |   |                       | 75      |   |   |   | 0.1 | % |   |   | 13,970 |   |   |   | 12.8 | % |
| SG&A expenses                 |   |                       | 18,981  |   |   |   | 25.5 | % |   |   | 18,798 |   |   |   | 17.2 | % |
| Amortization of intangible assets |   |                       | 2,776   |   |   |   | 3.7 | % |   |   | 2,777 |   |   |   | 2.5 | % |
| Operating loss                    |   | $                          | (21,682 | ) |   |   | -29.2 | % |   | $ | (7,605 | ) |   |   | -7.0 | % |
| Currency transaction loss         |   | $                          | (88     | ) |   |   | -0.1 | % |   | $ | (551 | ) |   |   | -0.5 | % |

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|                          |   | For the three months ended |
|-------------------------------|--------|----------------------------|
| (dollars in thousands)        |   | April 4, 2009              |   | March 29, 2008 |
|                          |   |  (Restated) (1)       |   |   |
|                          |   | (unaudited)                |   | (unaudited) |
| Statement of operations data: |   |                       |   |   |   |   |
| Operating loss                |   | $                          | (3,609 | ) |   | $ | (2,493 | ) |
| Interest expense              |   |                       | (33,756 | ) |   |   | (23,074 | ) |
| Interest income               |   |                       | 65 |   |   |   | 203 |   |
| Benefit for income taxes      |   | $                          | 11,049 |   |   | $ | 15,864 |   |

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11.75% Senior Secured Notes due 2013

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| ·   | our high degree of leverage and significant debt service obligations; |
|--------------------|-----------------------------------------------------------------------|

| ·   | restrictions under the indentures governing the Senior Secured Notes and our Senior Subordinated Notes and restrictions under our ABL Facility; |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the competitive nature of our industry; |
|--------------------|-----------------------------------------|

| ·   | changes in interest rates, and general economic, home repair and remodeling and new home construction market conditions; |
|--------------------|--------------------------------------------------------------------------------------------------------------------------|

| ·   | changes in the price and availability of raw materials; and |
|--------------------|-------------------------------------------------------------|

| ·   | changes in our relationships with our significant customers. |
|--------------------|--------------------------------------------------------------|

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|     4.1 | Fifth Supplemental Indenture, dated as of March 24, 2009, among Ply Gem Industries, Inc., the other guarantors party thereto and U.S. Bank National Association, as trustee (incorporated by reference from Exhibit 4.6 to the Company’s Annual Report on Form 10-K, dated March 30, 2009 (File No. 333-114041-07)).  |
|-----------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|    10.1      | Letter to Shawn K. Poe, dated as of February 11, 2009, regarding Renewal of Amended and Restated Retention Agreement (incorporated by reference from Exhibit 10.19 to the Company’s Annual Report on Form 10-K, dated March 30, 2009 (File No. 333-114041-07)).                                                       |
| *  31.1           | Certification by President and Chief Executive Officer pursuant to Rule 13a-14(a) of the Securities Exchange Act of 1934                                                                                                                                                                                                    |
| *  31.2           | Certification by Vice President and Chief Financial Officer pursuant to Rule 13a-14(a) of the Securities Exchange Act of 1934                                                                                                                                                                                               |

----

| By:    |   | /s/ Gary E. Robinette                                  |
|--------|--------|-------------------------------------------------------------|
| Name:  |   | Gary E. Robinette        |
| Title: |   | President and Chief Executive Officer                       |

| By:    |   | /s/ Shawn K. Poe                                       |
|--------|--------|------------------------------------------------------------------|
| Name:  |   | Shawn K. Poe                                                     |
| Title: |   | Vice President, Chief Financial Officer, Treasurer and Secretary |

----