Congoleum reaches asbestos claims agreement, posts financial results for 2002

MERCERVILLE, N.J. -- Congoleum Corp. said it has reached an agreement in principle with attorneys representing more than 75 percent of the known present claimants with asbestos claims pending against Congoleum. When consummated, this agreement will result in a global settlement of more than three-quarters of the asbestos personal injury claims pending against the company.

The agreement in principle also contemplates a Chapter 11 reorganization seeking confirmation of a pre-packaged plan that would leave non-asbestos creditors unimpaired and would resolve all pending and future personal injury asbestos claims against Congoleum and its distributors and affiliates. Approval of such a plan will require the supporting vote of at least 75 percent of the asbestos claimants with claims against Congoleum.