Streety vs. Garfield Alloys Inc.

An action was commenced on January 4, 2004, Case Number Case No. CV-04-519385 and CV-05-578427. The action arises from the December 29, 2003 fire and explosion at the Garfield Heights, Ohio facility then owned and operated by Garfield Alloys, Inc. There are approximately 900 households in the defined class.

The plaintiffs alleged that the December 29, 2003 fire and explosions at the Garfield Alloys plant were caused by the defendant's negligence, the defendant's creation of a nuisance, and the defendant's carrying on abnormally dangerous activities. The plaintiffs further alleged that the defendant violated the law and acted in conscious disregard for the rights and safety of class members. The plaintiffs asked the court to award compensatory damages on behalf of the class, as well as punitive damages.

The defendant disputes the plaintiff's allegations and deny that they are responsible for any damages claimed by the plaintiffs. Discovery and related matters in the case are ongoing and a trial date has not yet been scheduled.

The court ordered mediation and the parties have reached a tentative settlement. Pursuant to the tentative agreement reached at mediation, the defendant has agreed to deposit into escrow One Million Two Hundred Fifteen Thousand United States Dollars ($1,215,000.00) "the Settlement Amount" and an additional Twenty-Five Thousand United States Dollars ($25,000.00) to be allocated towards administrative costs. Pursuant to the tentative agreement, the total escrow available and guaranteed to the class and class counsel will be between $1,115,000.00 and $1,265,000.00 United States Dollars. Distributions to the class will consist of equal payments to class members who timely submit proper claim forms.

The defendants, Garfield Alloys, Inc. have six months in which to accept, or reject the settlement proposal. Subject to approval of the settlement at the fairness hearing, payments will not be made until at least 30 days after November 20, 2007, the date of the fairness hearing.

Class defined in Complaint was originally one mile from the explosion site, however, the class has been certified by the Court to be one-half mile from the explosion site. To determine if you are included in the Class Action, please see the attached Notice.