The Travelers Companies Inc. announced today that it has settled all current and future asbestos-related–contaminated fibrous minerals–coverage claims against Travelers and its subsidiaries relating to ACandS Inc.
"ACandS has been one of our most significant and longest-standing asbestos exposures," said Jay S. Fishman, Travelers chairman and chief executive officer.
"Eliminating the uncertainty inherent in this litigation makes this a very good outcome for our company and our shareholders," he added.
Travelers will contribute $449 million to a trust to be established pursuant to ACandS' plan of reorganization, according to the settlement agreement.
Travelers also is expected to cede approximately $84 million to its reinsurers, worth a net settlement of $365 million, the company said.
Travelers said the settlement will be funded from its existing asbestos reserves and it does not anticipate any impact on earnings as a result of the settlement.
ACandS Inc. does asbestos abatement and other environmental remediation work.
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