Best Of The Best Share Discussion Threads

[maywillow] 21/10/2003 09:40

ZURICH (AFX) - ABB Ltd said it remains confident of finalising the sale of
its oil, gas and petrochemicals division this year and expects no delay from the
later-than-originally-expected Dec 16 US asbestos hearing.
"Our position remains unchanged. We are confident to finalise the sale later
this year," ABB spokesman Thomas Schmidt said.
Some people may conclude that the Dec 16 date set for the final hearing in
the appeal against ABB's proposed 1.2 bln usd asbestos compensation package
could lead to a delay, but this has never been the company's position, Schmidt
said.
"We are very confident regarding the outcome of the asbestos court case," he
added.
A final settlement of the engineering group's long-standing asbestos problem
in the US has always been seen as a key factor prior to any proposed sale of
OGP, which is expected to net proceeds of about 1 bln usd.
[e-mail]
at/wf

[maywillow] 19/10/2003 18:14

ZURICH (AFX) - ABB Ltd said it welcomes the setting of December 16 as the
hearing date in an appeal against its proposed 1.2 bln usd asbestos compensation
package in the US.
"ABB is pleased with the fact that the date has been set by the Court of
Appeals which means that ABB is on track and remains confident regarding
the outcome as previously communicated," an ABB spokesman said.
However, ABB shares are seen falling on this further delay in obtaining a
final approval of its asbestos compensation package when trading opens tomorrow,
dealers said.
The deadline for submitting appeals to the Pennsylvania-based Third Circuit
Court of Appeals expired on Oct 7, with the judge setting no deadline for making
a final ruling.
The 13 claimant group having lodged appeals to the court have already
announced they will appeal the court's ruling to the US Supreme Court if it is
in ABB's favour.
[e-mail]
de/jlw

[waldron] 18/10/2003 07:15

More please Sir

[ariane] 12/10/2003 15:09

ZURICH (AFX) - ABB Ltd's proposed 1.2 bln usd asbestos compensation package
could be delayed by one and a half years due to 13 appeals lodged with the US
Third Circuit Court of Appeals in Pennsylvania, SonntagsZeitung reports.
The court's appeals deadline expired on Oct 7, with the judge having no
deadline for making a final ruling.
The claimant groups have already announced they will appeal the court's
ruling to the US Supreme Court if it is in ABB's favour, the paper said.
A Supreme Court procedure on average takes one year, and often one and a
half years, the paper added.
US insurance groups are among the 13 different claimant groups which have
lodged appeals, it said.
"Over 90 pct of the claimants support the (proposed compensation) package,"
a company spokesman commented, adding that the company is optimistic the matter
will continue to progress "without difficulties".
[e-mail]
de/hjp

[grupo guitarlumber] 29/9/2003 06:23

Risk Excluded

[grupo guitarlumber] 23/9/2003 11:41

LONDON (AFX) - Building materials and plumbing supplies group Wolseley PLC
played down the impact of asbestos claims on its profits.
"There has been no change in the position from last year. It is immaterial,
we do not expect any impact on the P&L," said Wolseley finance director Steve
Webster on a conference call.
"I can't give an indication of the number of claims but it is in the
hundreds and not thousands," he added.
Earlier the company reported a better than expected 4.2 pct rise in full
year underlying profits to 455.9 mln stg.
Progress was held back by weak construction activity in the US commercial
and industrial sector, flat demand in mainland Europe and lower lumber prices in
the US.
The group's US building materials division, called Stock, saw its trading
margin fall to 4.5 pct from 4.9 pct in 2002 as it had to handle greater volumes
of lumber at lower average prices.
Commodity lumber prices, which directly affect around 40 pct of Stock's
product range, fell 8.3 pct, compared to the previous year's average, to 287 usd
per thousand board feet.
Since the year ended on July 31 2003 the group has seen lumber prices race
up to 386 usd due to supply shortages as fires in the Canadian west led many
timber mills to shut down through fear of spreading more fires.
But Wolseley chief executive said prices are likely to settle down at around
the 300 usd mark in the coming year.
"The US building materials business we are not considering selling. We do
think that can turnaround," Banks told reporters.
"We are doing more componentry and other things to reduce dependency on
lumber prices," said Banks.
Wolseley is shaking up Stock with a cost-saving project called NOVA, aimed
at cutting 5 mln usd in costs this financial year and 10 mln usd every year
thereafter.
Banks repeated the group's outlook saying demand for new homes and DIY in
the US remains strong but there is unlikely to be a recovery in the commercial
and industrial arena until the second half of 2004.
He said the outlook for the UK market remains favourable whilst Continental
Europe is expected to remain flat.

tf/slm/

[ariane] 19/9/2003 13:47

Hanson

Hanson shares also benefited from positive broker comments, up 4-3/4 pence
at 412-3/4, after Morgan Stanley raised its target to 400 pence from 300,
arguing that the stock is trading close to its fair value after the recent
rally.

The broker however reiterated its 'underweight' recommendation, pointing out that the risk of adverse news flow on asbestos remains, with Congress returning from its summer break to continue the debate on tort reform.

[waldron] 21/8/2003 09:20

ABB


ZURICH (AFX) - ABB Ltd's on-going asbestos settlement procedure is on track
and the Aug 31 appeals deadline remain unchanged, said a company spokesman.
"The procedure is on track and the 30-day appeals period continuing," he
said.
The 3rd Circuit Court of Appeals will then rule over ABB's 1.2 bln usd
proposed asbestos settlement, he said.
Former rulings made by a US bankruptcy court and a district court approved
the package and over-ruled appeals made, he said.
The only delay in the on-going asbestos procedure is the setting up of a
trust, which will compensate current and future asbestos victims in due time, he
said.
ABB, which had opened 8.8 pct lower, recouped its losses after this
statement and was only 1.5 pct or 0.06 sfr lower at 7.4.
[e-mail]
de/ra

[maywillow] 01/8/2003 08:05

ZURICH (AFX) - ABB Ltd won judicial approval for its proposed 1.3 bln usd
settlement of pending asbestos claims in the US.
The decision late yesterday by US District Court Judge Alfred Wolin endorsed
an earlier bankruptcy court ruling.
It paves the way for ABB to proceed with wide-ranging restructuring plans,
including the sale of its oil, gas and petrochemicals unit for more than 1 bln
usd.
ABB welcomed the verdict, which is still subject to final ratification.
Under the settlement, which involves the company's Combustion Engineering
unit, ABB is protected from future asbestos-related claims.
[e-mail]
jms

[waldron] 30/7/2003 07:11

it seems not to go away

[waldron] 30/7/2003 07:11

NEW YORK (AFX) - A US lawyer has threatened continued legal action against
any buyer who comes to the rescue of ABB Ltd as recurring asbestos liabilities
overshadow the engineering group's recovery, the Financial Times reported.
The group is close to a court-approved deal that cap its main exposure at
about 1.2 bln usd.
But lawyers acting for victims claim the same level of protection does not
extend to its oil, gas and petrochemical division.
News emerged yesterday that Candover, the UK private equity fund, was
prepared to pay about 1 bln usd for the division.
"I find it astonishing that anybody would buy OGP when there is a risk of
continuing asbestos exposure," said Steven Kazan, a California lawyer
representing alleged victims of OGP's Lummus subsidiary.
"Lummus is a relatively small part of ABB's total liability right now but if
it were bought by a large, wealthy company they would attract many more claims."
ABB dismissed the argument as "a lot of smoke" from a persistent opponent
and hinted that Candover and other potential buyers of OGP would not be put off
by the threat.
[e-mail]
jms

[waldron] 21/7/2003 17:55

Wish you all the best. And trust there is a fund that will cover you in such an event.

[djalan] 21/7/2003 17:51

The asbestos problem can hit small firms too

I own & rent out a few small industrial units, one has an asbestos roof

I pay insurance for these premises and claim it back with the rent

With my recent renewal came the advice that asbestos related claims are
not now covered
This leaves me open to claims, remote I know, but even legal defence could clean me out
djal

[waldron] 21/7/2003 17:20

ZURICH (AFX) - ABB Ltd said its 1.3 bln usd asbestos package could be
approved as early as beginning of August, following today's expiry of a 10 days
appeals period against an earlier favourable ruling by a Pennsylvania bankruptcy
court.
"There have been appeals but these were expected," a spokesman for the
company said, adding he could not provide further details at the moment.
The district judge in New Jersey, as the relevant authority, has now set a
July 31 date for the next hearing, until which the parties can hand in
additional documentation and comment.
ABB has previously set aside 1.2 bln usd to settle the claims, with most of
the funds to be raised through the liquidation of the remaining assets of its
Combustion Engineering (CE) unit.
Asbestos claims against CE have already cost the group 1 bln usd between
1990 and the end of 2002.
Analysts expect the divestment of ABB's Oil, Gas and Petrochemicals division
to follow shortly after the final settlement of the asbestos case.
[e-mail]
at/wf

[waldron] 11/7/2003 07:18

WASHINGTON (AFX) - The Senate Judiciary Committee voted to permanently ban
asbestos-illness lawsuits and set up a privately funded trust to compensate
victims.
The committee, which struggled to overcome disagreements over payouts from
the fund, sent the bill to the full Senate overnight after a narrow 10-8 vote
approval.
Under the bill, manufacturers and insurers engulfed in asbestos-related
lawsuits would finance the trust fund over a 27-year period. The size of the
fund could range from 108-153 bln usd depending on the value of the payouts.
A claimant with mesothelioma, the most lethal of the asbestos-caused
cancers, would for example get 1 mln usd.
Analysts expressed concerns that the trust fund may face serious shortfalls
in the early years and perhaps run out of money over its life. Roughly 300,000
existing cases would be transferred to the newly created fund. Future asbestos
liability claims could total 275 bln usd.
The political snag hit shares of asbestos-saddled stocks in trading
Thursday. USG skidded $2.50 to $17.60; Owens-Illinois dropped $2.29 to $11.95;
Georgia-Pacific lost $1 to $19.07; and Halliburton fell 70 cents to $22.75.
[e-mail]
jms

[waldron] 02/7/2003 09:23

ZURICH (AFX) - ABB Ltd's management has admitted that the on-going US
asbestos case threatens the group's entire survival, in a document filed to the
US Securities & Exchange Commission (SEC), the Swedish paper Dagens Nyheter (DN)
reported.
ABB warned that a drawn out appeals process against its 1.3 bln usd asbestos
compensation package could make it impossible to obtain fresh capital, the paper
said.
Absence of fresh capital could in turn make it impossible for ABB to cut its
debt, it added.
"If we cannot cut our debt, we might be unable to meet our obligations in
time and consequently be unable to survive," said DN, quoting from the document
filed at the SEC.
ABB's proposed asbestos compensation package now lies in the hands of a
Delaware bankruptcy court, with a final ruling expected "soon".
The package must then be approved by a federal court, whose ruling in turn
can be appealed.
A US lawyer representing hundreds of claimants, has already indicated he
will appeal the federal judge's ruling and said the appeals process could drag
on for 2 years, DN said.
ABB was not available for comments.
[e-mail]
de/ra

[maywillow] 26/6/2003 08:16

LONDON (AFX) - Building materials group Hanson PLC warned that pension costs
and foreign exchange losses would hit its first half profits and said it was
raising its charges and provisions to cover US asbestos claims.
The news was delivered in a pre-close trading statement which revealed that
increased trading profits in the UK and Australia had been partially offset
weather and exchange related decline in North America.
ijl/sk

[maywillow] 24/6/2003 06:46

ABB

ZURICH (AFX) - The Delaware court examining ABB Ltd's proposed 1.3 bln usd
asbestos compensation package has issued a strong and detailed opinion in favour
of the plan proposed by Combustion Engineering and ABB, and is expected to make
its final ruling very soon, ABB said.
"The court...has asked only for two limited items of information to be
provided to enable the court to finalise its recommendation," an ABB spokesman
said.
It should make its final ruling "in the very near future", he also said.
ABB is confident these pieces of information can be provided very promptly
and expects the court to finalise its recommendation to confirm the plan in all
its aspects immediately thereafter, he said.
[e-mail]
de/jfr/vs

[ariane] 18/6/2003 17:23

ZURICH (AFX) - ABB Ltd will not comment on rumors it would spin-off its oil,
gas and petrochemical division to UK investment firm Candover, but confirms the
sale of the division is connected to the outcome of the asbestos suit in the US,
ABB spokesman Wolfram Eberhardt told ATS (Agence Telegraphique Suisse), part of
the SDA Swiss news agency.
Recently, CEO Juergen Dormann said ABB was discussing the sale of the oil,
gas and petrochemical division with three potential takeover candidates.
The sale of the division is dependent on the outcome of the asbestos case in
the US, Eberhardt said.
According to analysts, an ABB company in the division is likely to be
affected by the asbestos case.
[e-mail]
ats/mk/fp/amk/

[maywillow] 05/5/2003 08:50

Ignorance of niether the law or the risks is alas no defence.