tag:blogger.com,1999:blog-20692053.post6697995259761681785..comments2023-11-03T06:35:48.003-05:00Comments on Shark and Shepherd: If you clear it, will they come?Rick Esenberghttp://www.blogger.com/profile/07280070509167910367noreply@blogger.comBlogger7125tag:blogger.com,1999:blog-20692053.post-17414880727804893162012-02-15T22:06:10.482-06:002012-02-15T22:06:10.482-06:00Just think of it as a back payment to these fine c...Just think of it as a back payment to these fine companies (see Menomonie Falls/Kohl's for ) that nowadays receive their handouts upfront to do business in our towns. The same governments' offering tax breaks in exchange for moving to town shouldn't have a problem with paying to clean up after them during their insolvent years.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-20692053.post-55182718021206037322012-02-15T21:44:49.869-06:002012-02-15T21:44:49.869-06:00Anon 8:24 suggests that the indemnification or bon...Anon 8:24 suggests that the indemnification or bond or whatever is no longer relevant. Who owns the land now? The city? Did it acquire the land without seeking indemnification? That is, did the city get snookered?George Mitchellnoreply@blogger.comtag:blogger.com,1999:blog-20692053.post-45090687037715138862012-02-15T20:24:36.719-06:002012-02-15T20:24:36.719-06:00That doesn't look like a bond but a fairly nor...That doesn't look like a bond but a fairly normal indemnity provision in a purchase agreement. It is not money available to the government for clean up but is an agreement of one to indemnify the other if the other incurred costs associated with the indemnity events such as an EPA or wdnr suit requiring cleanup.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-20692053.post-84985348665464476072012-02-15T19:07:24.199-06:002012-02-15T19:07:24.199-06:00http://www.getfilings.com/o0001047469-99-012592.ht...http://www.getfilings.com/o0001047469-99-012592.html<br /><br />In connection with the acquisition of APC, A.O. Smith agreed, subject to certain<br />limitations, to indemnify the Company for environmental matters relating to APC<br />arising from events occurring, or conditions arising, prior to the closing date<br />of the acquisition of APC. This indemnification obligation applies to claims to<br />the extent exceeding $250,000 submitted by the Company within three years of the<br />acquisition date. To the extent that such claims exceed $5.0 million in the<br />aggregate, A.O. Smith will indemnify 70% of such losses, up to A.O. Smith's<br />maximum $75.0 million indemnification obligation under the purchase agreement.<br />In addition, A.O. Smith has agreed to retain certain environmental liabilities<br />for, among other things, offsite disposal of hazardous substances prior to the<br />acquisition of APC.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-20692053.post-65408609220979260432012-02-15T17:46:07.548-06:002012-02-15T17:46:07.548-06:00Anon cites a 50m bond that has "expired."...Anon cites a 50m bond that has "expired."<br /><br />That is a startling assertion. More details would help us understand whether this was a huge missed opportunity or not, along with who dropped the ball.George Mitchellnoreply@blogger.comtag:blogger.com,1999:blog-20692053.post-17331307115252883242012-02-15T16:17:53.212-06:002012-02-15T16:17:53.212-06:00There are certainly ways to sue for cleanup costs,...There are certainly ways to sue for cleanup costs, but that's not really my area. If they can, they should.Rick Esenberghttps://www.blogger.com/profile/07280070509167910367noreply@blogger.comtag:blogger.com,1999:blog-20692053.post-40229718504365455642012-02-15T13:42:44.983-06:002012-02-15T13:42:44.983-06:00When A.O. Smith sold to Tower Automotive in the pu...When A.O. Smith sold to Tower Automotive in the purchase Agreement Smith Set aside a 50 million bond for future cleanup costs. Being a former employee of both companies I brought this to the attention of city officials and they did not know anything about this. Evidently when the city officials looked into this the bond had already expired.<br /> Like any other former industrial site the city uses grants to cleanup and the former owners in my opinion get off the hook for the expensive remediation costs.Anonymousnoreply@blogger.com