Glatfelter (NYSE:GLT), today announced that the United States District
Court for the Eastern District of Wisconsin issued an opinion and order
on several pending motions in the case captioned Appleton Papers Inc.
v. George A. Whiting Paper Co., No. 2:08-cv-16 (E.D. Wis.),
including the granting of motions for summary judgment by Glatfelter and
the other defendants and the denial of motions for summary judgment by
the plaintiffs (the “Summary Judgment Order”). Glatfelter believes that
the court’s opinion and order supports its position on the merits of the
case and, while subject to appeal, significantly reduces the Company’s
exposure to remediation costs for the Lower Fox River and the Bay of
The litigation, which Glatfelter previously announced had been filed
during the first quarter of 2008, relates to significant uncertainties
associated with environmental claims arising from the presence of
polychlorinated biphenyls in the sediments in the lower Fox River and in
the Bay of Green Bay, Wisconsin. Appleton Papers Inc. and NCR
Corporation, two of the parties potentially responsible, sued certain
other entities, including Glatfelter, to allocate responsibility among
them and to seek reimbursement. The first phase of the litigation was
scheduled for trial beginning in January 2010.
In the Court’s Summary Judgment Order, the Court denied motions filed by
Appleton Papers Inc. and NCR Corporation for summary judgment and
granted the defendants’ motions for summary judgment. The Court
expressed its intention to enter judgment against Appleton Papers Inc.
and NCR Corporation on all of their contribution claims, holding that
“the Plaintiffs are not entitled to recover from the Defendants for
their costs incurred in cleaning up damage caused by dangers the
Plaintiffs created.” The Court cancelled the pending trial, and will
enter judgment unless the parties provide a reason not to do so in the
next 30 days. The Court’s opinion does not affect Glatfelter’s
responsibility to the United States or the State of Wisconsin, nor does
it resolve Glatfelter’s counterclaims against Appleton Papers Inc. or
NCR Corporation for costs Glatfelter has expended and, therefore,
further litigation is possible.
“We are pleased with the Court’s denial of the plaintiffs’ motions for
summary judgment and with the Summary Judgment Order,” said Thomas G.
Jackson, Vice President and General Counsel & Secretary of Glatfelter.
“While the outcome of this and any legal matter cannot be predicted with
certainty, we believe that the Court’s Summary Judgment Order is yet
another significant and positive step towards the successful resolution
of this litigation.”
Forward Looking Statements
Certain statements included in this press release which pertain to
future financial and business matters, are “forward-looking statements”
within the meaning of the safe harbor provisions of the United States
Private Securities Litigation Reform Act of 1995. These statements are
based on management’s current expectations and are subject to numerous
risks, uncertainties and other unpredictable or uncontrollable factors
which may cause actual results or performance to differ materially from
the Company’s expectations. Various risks and factors that could cause
future results to differ materially from those expressed in the
forward-looking statements include, but are not limited to: whether the
plaintiffs file an appeal of the Summary Judgment Order, whether any
appeal is successful, the scope of the Company’s obligations to the
United States government and the state of Wisconsin, the outcome of the
Company’s counterclaims against Appleton Papers, Inc. and NCR
Corporation, changes in environmental and other laws and regulations,
and other factors. In light of these risks, uncertainties and other
factors, the forward-looking events discussed in this press release may
not occur and readers are cautioned not to place undue reliance on these
forward-looking statements. The forward-looking statements speak only as
of the date of this press release and Glatfelter undertakes no
obligation, and does not intend, to update these forward-looking
statements to reflect events or circumstances occurring after the date
of this press release. More information about these factors is contained
in Glatfelter’s filings with the U.S. Securities and Exchange
Commission, which are available at www.glatfelter.com.
Headquartered in York, PA, Glatfelter is a global manufacturer of
specialty papers and engineered products, offering over a century of
experience, technical expertise and world-class service. U.S. operations
include facilities in Spring Grove, PA and Chillicothe and Fremont, OH.
International operations include facilities in Germany, France, the
United Kingdom and the Philippines and a representative office in China.
Glatfelter’s sales exceed $1 billion annually and its common stock is
traded on the New York Stock Exchange under the ticker symbol GLT.
Additional information is available at www.glatfelter.com.
Source: Business Wire