How Saint-Gobain used the Texas two-step

After decades of mounting asbestos litigation, Saint-Gobain’s CertainTeed had accumulated approximately $2 billion in litigation costs. The company used the Texas two-step bankruptcy maneuver to stop more than 60,000 legal actions in months.

Aug 13, 2019 Lawyers at Saint- Gobain discuss the bankruptcy plan.

1

Oct 23, 2019 Saint-Gobain’s CertainTeed splits in two, creating a new CertainTeed & DBMP. DBMP is saddled with the lawsuits.

2

Jan 23, 2020 DBMP files for bankruptcy.

 

Jan 29, 2020 Lawsuits put on hold.

 

CertainTeed continues to operate.

Sources: Court filings

How Saint-Gobain used the Texas two-step

After decades of mounting asbestos litigation, Saint-Gobain’s CertainTeed had accumulated approximately $2 billion in litigation costs. The company used the Texas two-step bankruptcy maneuver to stop more than 60,000 legal actions in months.

CertainTeed

continues

to operate

1

2

Aug 13, 2019

Oct 23, 2019

Jan 23, 2020

Jan 29, 2020

Saint-Gobain’s CertainTeed splits in two, creating a new CertainTeed & DBMP. DBMP is saddled with the lawsuits.

DBMP files for

bankruptcy.

Lawsuits put

on hold.

Lawyers at Saint- Gobain discuss the bankruptcy plan.

Sources: Court filings

How Saint-Gobain used the Texas two-step

After decades of mounting asbestos litigation, Saint-Gobain’s CertainTeed had accumulated approximately $2 billion in litigation costs. The company used the Texas two-step bankruptcy maneuver to stop more than 60,000 legal actions in months.

CertainTeed

continues

to operate

1

2

Aug 13, 2019

Oct 23, 2019

Jan 23, 2020

Jan 29, 2020

Saint-Gobain’s CertainTeed splits in two, creating a new CertainTeed & DBMP. DBMP is saddled with the lawsuits

DBMP files for

bankruptcy

Lawsuits put

on hold

Lawyers at Saint- Gobain discuss the bankruptcy plan

Sources: Court filings

How Saint-Gobain used the Texas two-step

After decades of mounting asbestos litigation, Saint-Gobain’s CertainTeed had accumulated approximately $2 billion in litigation costs. The company used the Texas two-step bankruptcy maneuver to stop more than 60,000 legal actions in months.

CertainTeed continues to operate

1

2

Aug 13, 2019

Oct 23, 2019

Jan 23, 2020

Jan 29, 2020

Saint-Gobain’s CertainTeed splits in two, creating a new CertainTeed & DBMP. DBMP is saddled with the lawsuits

DBMP files for

bankruptcy

Lawsuits put

on hold

Lawyers at Saint- Gobain discuss the bankruptcy plan

Sources: Court filings