This Week
  • CFO David Klein is leader of the financial team at Constellation Brands.

  • CEO Eric Converse has VirtualScopics on the verge of generating cash.

  • MaeTec Power Inc. began as a part-time operation in 2003.

  • Renovations of buildings downtown are helping to give new life to the center city.

  • Mirror Show Management grabbed the top spot on the 2015 Rochester Top 100.

  • Liz Madison is bringing the farm to doorsteps across Wayne and Monroe counties.

Garlock files amended plan of reorganization

Rochester Business Journal
May 30, 2014

Garlock Sealing Technologies LLC filed late Thursday an amended plan of reorganization that provides $275 million for resolution of all unsettled current asbestos claims, as well as future asbestos claims against it.

Palmyra, Wayne County-based Garlock is a deconsolidated subsidiary of EnPro Industries Inc. The reorganization--filed in the U.S. Bankruptcy Court for the Western District of North Carolina--includes the court’s determination in January that $125 million is sufficient to satisfy Garlock’s aggregate liability for present and future mesothelioma claims.

In 2010, Garlock filed a voluntary petition to establish a trust to resolve all current and future asbestos claims under the U.S. Bankruptcy Code.

The plan calls for a $245 million settlement facility that would receive and settle claims for cash payments based on objective criteria outlined in the plan and a $30 million litigation facility that would defend suits by claimants who choose to litigate.

“(Garlock’s) amended plan of reorganization provides fair compensation to claimants and permanent resolution to all asbestos claims against (the company),” said Stephen Macadam, EnPro president and CEO, in a statement. “By providing funding greater than (Garlock’s) legal liability, the plan will facilitate the resolution of the vast majority of claims by settlement rather than litigation, saving litigation costs and ensuring that claimants are paid in full.”

The $245 million settlement facility will be funded by a $215 million lump-sum cash contribution from Garlock and a $30 million lump-sum cash contribution by Coltec Industries Inc., Garlock’s parent company and a wholly-owned subsidiary of EnPro Industries.

The plan document will be posted in the investor relations section of EnPro’s website,

 (c) 2014 Rochester Business Journal. To obtain permission to reprint this article, call 585-546-8303 or e-mail

What You're Saying 

There are no comments yet. Be the first to add yours!

Post Your Own Comment


Not registered? Sign up now!

To Do   Text Size
Post CommentPost A Comment eMail Size1
View CommentsView All Comments PrintPrint Size2
ReprintsReprints Size3
  • E-mailed
  • Commented
  • Viewed
RBJ   Google