Babcock & Wilcox Asbestos Trust: Claims and Payment

Boilers built by The Babcock & Wilcox Company used asbestos as insulation until the company phased it out after the government set low exposure limits in the early 1970s, according to the trust's history page. On February 22, 2000, B&W and certain subsidiaries filed voluntary Chapter 11 petitions in New Orleans, which the company describes as the process by which it could resolve asbestos liability claims. The distribution procedures refer to a Joint Plan of Reorganization dated September 28, 2005 and filed September 29, 2005. A filing with the SEC states that B&W emerged from Chapter 11 effective February 22, 2006, and that a trust was created for asbestos personal injury claimants and funded with $350 million in cash, a contingent $355 million payment right and a $250 million B&W note. The trust site states that the trust was formed in 2006 and began accepting claims on July 17, 2006. Its distribution procedures schedule eight disease levels, seven with presumptive medical and exposure criteria, and provide Expedited Review and Individual Review. A notice dated June 30, 2026 states that the payment percentage was reduced to 4.3%.