In the ongoing legal battle regarding asbestos claims, US vinyl flooring manufacturer Congoleum has reached an agreement in principle with the legal representatives of 75% of the known claimants with action pending against Congoleum.
If the agreement is ratified, it will mean that more than 75% of asbestos related claims against the company will be settled.
It will also mean that the company will also result in a Chapter 11 reorganisation. Under the plan, all pending and future asbestos claims against the company and its affiliates would be resolved, while the creditors for the non-asbestos part of the business would be unaffected.
To date, Congoleum have spent $17.3 million in 2002 resolving asbestos related claims.
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