Congoleum Corp. of Mercerville, N.J., has reported that it has reached a litigation settlement with insurer Chartis Companies. Under the terms of the agreement, the Chartis Companies have agreed to pay $40 million over a period of six years in exchange for a buyback of certain subject insurance policies. The $40 million will be paid into the trust formed by Congoleum’s plan of reorganization for distribution to asbestos claimants. The settlement is subject to court approval and other conditions.
Roger S. Marcus, chairman of the board, commented, “With this latest settlement, we have now resolved all our insurance litigation and moved one step closer to completing our reorganization. I look forward to the confirmation hearing on our plan that is scheduled for June and believe we can emerge from bankruptcy shortly thereafter.”
Congoleum Corp. is a manufacturer of commercial and residential resilient flooring.
Was this article valuable?
Here are more articles you may enjoy.