Uniroyal Holding Files Chapter 11 Bankruptcy Amid Asbestos Claims and Retiree Obligations
Uniroyal Holding Inc., a subsidiary of the former Uniroyal tire company, has filed for Chapter 11 bankruptcy to resolve asbestos-related personal injury claims, settle retiree benefits, and distribute assets. The company listed $10 million to $50 million in assets against liabilities ranging from $50 million to $100 million. Over its four-decade history, it faced more than half a million asbestos cases, resolving 216,994 of them with nearly $500 million paid out. The company's leadership cited the growing unmanageability of litigation as current staff retires and emphasized that the bankruptcy filing includes a consensual plan to establish a settlement trust for future claims. Uniroyal Holding also plans to dissolve after fulfilling its obligations, including managing benefits for 140 retirees aged an average of 92. Originally part of one of America's largest tire companies listed in the original Dow Jones Industrial Average index under ticker 'R', Uniroyal Inc. was restructured and taken private in 1985.
Topics: asbestos claims bankruptcy filing corporate dissolution