Honeywell, International Paper Reach Tentative Settlement With U.S. Over North Carolina Site Cleanup -- Update

By Maria Armental

Honeywell International Inc. and International Paper Co. agreed to cover the costs to clean up an industrial site in North Carolina, according to a proposed settlement with the Justice Department and Environmental Protection Agency filed Thursday.

While the final amount is unresolved -- as it would include past and future costs -- documents filed Thursday in North Carolina federal court indicate an initial amount of about $16 million. (www.justice.gov/enrd/consent-decree/file/1155611/download)

Under the terms of the proposed settlement, which is subject to a 30-day public comment period and approval by the court, the companies admit no liability.

A spokesman for International Paper said the company has cooperated with all parties involved and will continue to do so.

Honeywell had no immediate comment.

The roughly 24-acre site in question, known as the LCP-Holtrachem superfund site (cumulis.epa.gov/supercpad/SiteProfiles/index.cfm?fuseaction=second.Cleanup&id=0403159#bkground), includes a former chlor-alkali manufacturing plant in Riegelwood, N.C. and nearby areas contaminated from plant operations.

Honeywell is the current owner of the site, which borders the Cape Fear River and land owned by International Paper.

International Paper, according to the federal complaint(www.justice.gov/enrd/consent-decree/file/1155606/download), used many of the chemicals manufactured at the LCP-Holtrachem plant and hazardous substances from the plant were disposed of at the property.

The two companies have done some preliminary cleanup work under prior agreements with the EPA.

Write to Maria Armental at maria.armental@wsj.com

(END) Dow Jones Newswires

April 18, 2019 22:49 ET (02:49 GMT)

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