Courtesy of Benzinga.
W. R. Grace & Co. (NYSE: GRA) today announced that the U.S. District Court for the District of Delaware has denied all objections and confirmed Grace’s Plan of Reorganization in its entirety. The Bankruptcy Court decision approving the Joint Plan was issued on January 31, 2011. Grace filed for Chapter 11 protection on April 2, 2001.
“This is another necessary step in emerging from Chapter 11,” said Fred Festa, Chairman and CEO. “Two Federal courts have now ruled that our Joint Plan is fair to all parties.”
The Joint Plan establishes two asbestos trusts to compensate personal injury claimants and property owners. Funds for the trusts will come from a variety of sources including cash, warrants to purchase Grace common stock, deferred payment obligations, insurance proceeds and payments from certain third parties. The trusts’ assets and operations are designed to cover all current and future asbestos claims.
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