News
October 13, 2004

McDermott International Inc. announced on Oct. 8 that a federal bankruptcy judge has issued his findings of fact, conclusions of law and recommendations regarding confirmation of The Babcock & Wilcox Company  Chapter 11 Joint Plan of Reorganization.  Partners Daniel R. Murray, Barry Sullivan and Jacob I. Corré and Associate Timothy A. Hudson led Jenner & Block’s representation of McDermott, Inc. in this consensual plan of reorganization for Babcock & Wilcox.

As a wholly-owned subsidiary of McDermott, Babcock & Wilcox filed for Chapter 11 bankruptcy in New Orleans, La., on Feb. 22, 2000, as a result of asbestos-related claims brought against Babcock & Wilcox.  The Joint Plan of Reorganization was moved forward on Friday in federal court by the Honorable Judge Jerry A. Brown of the United States Bankruptcy Court for the Eastern District of Louisiana, and now goes before the Honorable Judge Sarah S. Vance of the United States District Court.  Judge Vance is expected to review Judge Brown's findings and recommendations. Once Judge Vance's order of granting or denying confirmation of the Plan is issued, any appeals would proceed to the Fifth Circuit Court of Appeals and thereafter possibly to the United States Supreme Court. 

McDermott’s Joint Plan of Reorganization will not become effective until all appeals have been exhausted and certain conditions are either satisfied or waived, including the entry of a final order of confirmation. Additionally, McDermott's Board of Directors must give its approval to the Plan and associated settlement within a thirty day period prior to the Plan becoming effective. The Board will consider numerous factors when contemplating approval, including any developments associated with national legislation on the proposed Fairness in Asbestos Injury Resolution Act.

McDermott International Inc. is a leading worldwide energy services company. The Company's subsidiaries provide engineering, fabrication, installation, procurement, research, manufacturing, environmental systems, project management and facility management services to a variety of customers in the energy and power industries, including the U.S. Department of Energy.

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