Major Robotics Company Seeks Resolve Asbestos Settlements -- MesoLink.org -- 06-21-04

The world’s biggest manufacturer of factory robots, ABB Limited, is trying to resolve opposition to a proposed sum to settle asbestos claims. The sum proposed by the Swiss company is $1.3 billion to settle a number of cases.

Two courts have already approved the sum proposed by ABB, but a third court in Philadelphia is set to hear from people that claim this sum is unfair. However, an ABB spokesman stated that the company is confident that the $1.3 billion settlement figure will be accepted. The company has 164,000 mesothelioma, asbestosis, and other asbestos related claims to settle, and once this has been done can look at selling assets to raise more funds.

Kenneth Graverson of Bankinvest, Copenhagen, stated that resolving these settlements would be a step in the right directions, and he said: “ It's very important to get this settlement, since it has been depressing the stock price.”

The company’s share prices have dropped by eighty percent since February 2000. To avoid bankruptcy the company had to cut 40,000 jobs and sell eleven of its businesses.

This has brought the company back from bankruptcy, and ABB officials now hope that the settlement of these claims will help to stabilise share prices. The opposition consists of nearly three hundred plaintiffs as well as some insurers, who all claim that the settlement proposal is unfair and should be rejected

Major Robotics Company Seeks To Resolve Asbestos Settlements