Business
ShawCor announces Alabama jury verdict
ShawCor announces Alabama jury verdict.
About this update from Mattr Corp
[{"type":"text","content":"\n\n\n\n(TSX: SCL.A, SCL.B)\n\n\nTORONTO, Nov. 1 /CNW/ - ShawCor Ltd. announces that a Mobile, Alabama\njury has reached a verdict of US$100 million for total compensatory damages\nagainst Bredero Price Company, Bredero Shaw LLC, ShawCor Ltd. and Halliburton\nEnergy Services Inc. ("HESI"), as well as US$2.0 million per defendant for\ntotal punitive damages of US$8 million. Each of ShawCor and HESI are\nresponsible for 50% of the total award.\n\n\nThe lawsuit was commenced by Dirt Inc, a Mobile based non-hazardous\nlandfill operator, which claimed that Bredero Price Company disposed of\nhazardous solid waste from its Mobile pipe coating plant to the Dirt landfill.\nThe operations of Bredero Price Company were acquired by Bredero Shaw LLC on\nOctober 1, 2002. At the time such disposal occurred, Bredero Price Company\nbelieved that the solid waste was not hazardous under US environmental laws.\nSubsequently, Bredero determined that the waste was hazardous and notified\nDirt and the Alabama Department of Environmental Management.\n\n\nShawCor is disappointed with the verdict and believes it has very strong\ngrounds for appeal which it expects to initiate as soon as possible.\n\n\nWhen a decision respecting an appeal is finalized, ShawCor will assess\nthe adequacy of its current accrued liability. Any additional reserve\nconsidered necessary will be recorded as a loss from discontinued operations\nduring the fourth quarter. This amount will not exceed $30 million, on an\nafter-tax basis, and any such amount is expected to be reduced as a result of\na successful appeal.\n\n\nShawCor Ltd. is an energy services company specializing in products and\nservices for the pipeline and pipe services and the petrochemical and\nindustrial segments of the oil and gas industry. The company operates through\nsix divisions with over sixty manufacturing and service facilities located\naround the world.\n\n\nThis news release contains forward-looking information within the meaning\nof applicable securities laws. Words such as "may", "will", "should",\n"anticipate", "plan", "expect", "believe", "predict", "estimate" and similar\nterminology are used to identify forward-looking information. This\nforward-looking information is based on assumptions, estimat...