James Hardie Industries Plc. · NYSE:JHX
James Hardie Industries — Corporate Update (February 2004)
16 slides from James Hardie Industries's corporate update, Feb 25, 2004
Slide 1: James Hardie
My iG 4 7) James Hardie
Slide 2: Introduction
@ James Hardie Introduction * Inquiry announced * No change to our position
Slide 3: Overview
@ James Hardie Overview = Announcement of inquiry = Reason for inquiry = Inquiry process « Forum to address misconceptions = Establishment of MRCF — recap ®s Company’s position unchanged « Terms of reference should be widened «= MRCF update
Slide 4: Announcement of Inquiry
Announcement of Inquiry Special Commission of Inquiry into establishment of Medical Research & Compensation Foundation (MRCF) announced by NSW Government Conducted by a judge or practicing lawyer appointed as Commissioner Commissioner to report back by 30 June 2004
Slide 5: Reasons for Inquiry
Reasons for Inquiry « MRCF announced possible shortfall in assets available to meet estimated future claims * Unions, plaintiff lawyers and others expressed concern — called for inquiry « NSW Government seeking more information
Slide 6: Inquiry Process
Inquiry Process James Hardie expects fo make submissions to the Commission Public hearings are likely to be held Commissioner will prepare a report after considering evidence and submissions No obligation on NSW Government to implement recommendations contained in Commissioner’s report
Slide 7: Forum to Address Misconceptions
Forum to Address Misconceptions Inquiry welcomed - provides forum to address misconceptions We will cooperate fully with Inquiry Repeated offers to NSW Government to explain details Same offer will extend to Inquiry
Slide 8: Establishment Recap
Establishment Recap # Established in February 2001 to: « Compensate people injured by asbestos from former group companies « Fund medical research aimed at finding cures # Independent, non profit organisation with own board and management « Established with assets to meet anticipated future claims r
Slide 9: Establishment Recap cont.../2
Establishment Recap cont.../2 MRCF vested with shares in AMABA and AMACA (former James Hardie group companies, that manufacture asbestos) Assets in AMABA and AMACA totalled A$296 million, including A$90 million above net assets and legal obligations AMABA and AMACA indemnified former parent company
Slide 10: Company's Position Unchanged
Company’s Position Unchanged « Establishment of MRCF was fair, legitimate and transparent Former parent company board took expert advice determining funds provided Best information available used Extensive consultation with acknowledged experts and interested parties Interests of claimants and share
Slide 11: Company's Position Unchanged cont.../2
Company’s Position Unchanged cont.../2 « Legal and financial position unchanged No parent company liability for AMACA and AMABA before/after MRCF establishment, or before/after restructure Potential for asbestos related claims from AMABA or AMACA to have material adverse affect on JHI NV remains rem
Slide 12: Use of asbestos in Australia was widespread
Use of asbestos in Australia was widespread ® Used in more than 3,000 products « 100’s of companies and government entities involved AMABA and AMACA are 2 of 150 defendants AMABA and AMACA liable for 15% of claims If dramatic change has occurred, other defendants (including government entities) must
Slide 13: MRCF Update
@ James Hardie MRCF Update = MRCEF has continued to investigate legal options = Further documents provided to MRCF * Nothing has changed 13
Slide 14: Summary
@ James Hardie Summary « James Hardie welcomes Inquiry # Provides opportunity to separate fact from fiction « Terms of reference should be widened # No change to our position 14
Slide 15: Questions
@ James Hardie QUESTIONS 15
Slide 16: Disclaimer
@ vames Hardie Disclaimer This presentation contains forward-looking statements. Words such as "believe," “anticipate,” "plan," "expect," “intend,” “target,” "estimate," “project,” “predict,” “forecast,” “guideline,” “should,” "aim" and similar expressions are intended to identify forward-looking st
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