Opinion
Bankruptcy No. 5:03-BK-1802.
January 3, 2005
ORDER GRANTING RELIEF SOUGHT IN EIGHTH OMNIBUS OBJECTION TO CLAIMS
Upon consideration of the Eighth Omnibus Objection to Claims (the "Claim Objection") filed by the Weirton Steel Liquidating Trustee ("Liquidating Trustee") on behalf of the Weirton Steel Liquidating Trust (the "Liquidating Trust"); responses to the Claim Objection having been filed by Ellinora Cagna ("Cagna"), Carol A. Simmons ("Simmons"), GE Capital Corporation and the Weirton Area Water Board ("Water Board"); due and proper notice of the Claim Objection having been given; in consideration of the arguments made at the hearing on December 29, 2004 (the "Hearing"); and having determined that the legal and factual bases set forth in the Claim Objection and at the Hearing establish just cause for the relief granted herein,
IT IS HEREBY ORDERED THAT:
1. The relief sought by the Liquidating Trust in the Claim Objection is granted except as otherwise set forth in this Order and the attached Exhibits.
2. All capitalized terms used herein shall have the meaning given to such terms in the Claim Objection.
3. Each of the claims identified on Exhibit "A" attached hereto are disallowed and expunged without prejudice to the rights of the holders of such claims to seek payment thereof from ISG Weirton Inc. (the "Buyer"), a wholly owned affiliate of International Steel Group Inc., and without prejudice to Buyer's defenses to such claims; provided, however, that nothing in this Order expands, modifies or alters in any way the rights, obligations or liabilities of Buyer under the APA, Sale Order and related documents and other Orders of this Court; and provided further that nothing contained in this Order shall in any way modify, affect, diminish, expand, or impair any of the rights or obligations of the Buyer or General Electric Capital Corporation, individually or in its capacity as the assignee of Boeing Capital Corporation ("GECC"), under any leases between GECC, as Lessor, and Weirton Steel Corporation ("WSC"), as Lessee, that were previously hereto assumed by WSC and assigned to the Buyer.
4. Each of the claims identified on Exhibit "B" attached hereto are disallowed and expunged as they are time barred by operation of this Court's Prepetition Bar Date Order and no excusable reason has been shown to justify their late filing.
5. The claim identified on Exhibit "C" attached hereto is disallowed and expunged because it is duplicative of the Indenture Trustee Claims filed by the Indenture Trustee in its representative capacity on behalf of the Bondholder.
6. The response of Cagna is hereby overruled and each of the claims identified on Exhibit "D" attached hereto are disallowed and expunged because they are provided for under the Pension Plan Termination Order, the PBGC Settlement Order, the Effects Agreement Order and/or the Effects Agreement, and for the reasons otherwise stated by the Court on the record at the Hearing.
7. Each of the claims identified on Exhibit "E" attached hereto are disallowed and expunged as there is no legal or equitable bases for the claims.
8. Each of the claims identified on Exhibit "F" attached hereto are disallowed and expunged, provided, however, that nothing herein shall limit or modify the settlement terms between the Liquidating Trustee, on behalf of the Liquidating Trust, and the holders of those claims identified on Exhibit "F", nor shall the claims resulting from such settlements be affected.
9. The claim identified on Exhibit "G" attached hereto is hereby allowed in the reduced amount of $13,000 as set forth on such Exhibit, with the remainder of Claim No. 1478 hereby disallowed.
10. The Claim Objection as to the claims identified on Exhibit "H" attached hereto was withdrawn at the Hearing, without prejudice to the right of the Liquidating Trust to object to such claims on any basis in the future.
11. As to the claims identified on Exhibit "I" attached hereto, the hearing on the Liquidating Trust's objection to such claims is hereby continued to January 24, 2005, at 1:30 p.m. prevailing Eastern time, with any responses to be filed by the holders of such claims no later than January 19, 2005.
12. The Claim Objection as to Claim No. 2325 filed by Simmons is continued generally.
13. Nothing herein shall bar or preclude further objection to any claim by the Liquidating Trustee.
14. The Liquidating Trustee, the Liquidating Trust and the claims agent, Donlin Recano Company, Inc., are authorized to take all actions necessary or appropriate to give effect to this Order.
EXHIBIT A
CLAIMS ASSUMED BY ISG TO BE DISALLOWED AND EXPUNGED CREDITOR CLAIM # CLAIM DATE CLAIM AMOUNT
BOEING CAPITAL CORPORATION 1876 10/16/2003 2,254,078.13 CLEVELAND-CLIFFS INC 2751 12/2/2003 1,010,996.82 NORFOLK SOUTHERN RAILWAY COMPANY 2535 10/20/2003 165,294.19EXHIBIT B LATE FILED CLAIMS TO BE DISALLOWED AND EXPUNGED CREDITOR CLAIM # CLAIM DATE CLAIM AMOUNT ALABAMA COPPER BRONZE CO INC 2762 12/22/2003 16,550.00 APPLIED INDUSTRIAL TECHNOLOGIES 2718 10/29/2003 8,053.82 BEI ELECTRONICS INCORPORATED 2668 10/27/2003 2,321.00 BROWN* JOANN T 2611 10/23/2003 0.00 CASCO COMPRESSED AIR SPECIALISTS CO. 2671 10/24/2003 458.88 COLE* DAVID R 20524 7/16/2004 0.00 CRU INTERNATIONAL LTD 2778 1/22/2004 0.00 DEBARTOLOMEO* JOSEPH B. 2635 10/22/2003 500,000.00 DEPARTMENT OF FINANCIAL SERVICES 2732 11/10/2003 0.00 DOW JONES REUTERS D/B/A FACTIVA 2756 12/12/2003 2,000.00 FABREEKA PRODUCTS COMPANY 2782 2/18/2004 4,023.97 FIDELITY INVESTMENTS 20543 8/2/2004 4,935.24 GILL JR* SAMUEL M 2631 10/22/2003 0.00 GRAPHIC CONTROLS 2683 10/27/2003 4,086.87 HOLLAND COMPANY LP 2750 11/26/2003 28,860.00 IMPRESS USA, INC 2763 12/19/2003 2,000,000.00 JAY INDUSTRIAL CONTROLS 2648 10/22/2003 2,017.11 KNICKERBOCKER RUSSEL COMPANY INC. 2705 11/3/2003 549.84 LOCKWOOD GREENE 2761 12/15/2003 30,326.72 McKEES ROCKS FORGINGS INC 2769 12/29/2003 25,583.41 MSC PREFINISH METALS INCORPORATED 20541 7/29/2004 49,684.31 OCMET INCORPORATED 2726 11/7/2003 0.00 OMEGA ENGINEERING INCORPORATED 2765 12/23/2003 1,031.75 OVERNITE TRANSPORTATION COMPANY 2775 1/7/2004 1,745.20 PF ENVIRONMENTAL TECHNOLOGIES INC. 2773 1/9/2004 115,301.92 POCZATEK* FRANK G 20547 8/9/2004 150,000.00 PREMIER SAFETY SERVICE INC. 2771 1/5/2004 30,719.22 ROBINSON* WESLEY A 2607 10/23/2003 0.00 SAYBOLT LP, A CORE LABORATORIES COMPANY 2680 10/24/2003 4,035.52 SG MORRIS COMPANY 2509 10/21/2003 158,910.69 SHANLEY BAKER 2605 10/23/2003 132,492.36 SHELLS INCORPORATED 2706 11/3/2003 4,131.38 SIEMENS ENERGY AUTOMATION, INC. 2744 11/19/2003 9,689.22 SPECIALISTS IN TRANSIT FWDG. INC. OF 2793 5/21/2004 1,057.71 SPECTRUM MEDICAL SERVICES 2702 11/3/2003 119.00 SPRINT COMMUNICATIONS LP 2601 10/23/2003 1,684.36 STARVAGGI INDUSTRIES INCORPORATED 2712 10/30/2003 134,425.16 THOMSON FINANCIAL CORPORATE GROUP 2654 10/22/2003 1,150.00 WV DEPARTMENT OF TRANSPORTATION 2757 12/17/2003 176,067.82 EXHIBIT C BONDHOLDER CLAIM TO BE DISALLOWED AND EXPUNGED CREDITOR CLAIM # CLAIM DATE CLAIM AMOUNT POCZATEK* FRANK G 20547 8/9/2004 150,000.00 EXHIBIT D CLAIMS FOR PENSION AND/OR RETIREE BENEFITS TO BE DISALLOWED AND EXPUNGED CREDITOR CLAIM # CLAIM DATE CLAIM AMOUNT ANDRIANO* GLENN M 2419 10/20/2003 0.00 ARANGO* RICHARD 20194 06/21/04 883.80 BALDAUF* ELEANOR 2746 11/18/2003 0.00 CAGNA* ELLINORA 2777 1/27/2004 65,000.00 CASHDOLLAR* EDWARD 20349 06/28/04 25,000.00 COOK JR* SAMUEL H 20201 06/21/04 0.00 DANKOVCHIK* DANIEL J 20047 06/14/04 0.00 FERRIS* ROBERT E. 20064 06/14/04 4,368.00 FISHER* REX B 20014 06/10/04 0.00 FLOWERS* EDWARD T. 1865 10/16/2003 0.00 FORSYTHE* LARRY 2512 10/21/2003 0.00 GOOSSENS* GARY M 2364 10/20/2003 1,728,000.00 KOLOSKY* WALTER J 20015 06/10/04 25,000.00 MAKRICOSTAS* EUGENIA 2704 11/3/2003 0.00 MASON* DONALD 20076 06/14/04 25,000.00 MASON* JANE 20075 06/14/04 25,000.00 PAIDOUSIS* GEORGE 20205 06/21/04 0.00 PEPPER* SHARON 2350 10/20/2003 21,000.00 PORCO* JOSEPH 2435 10/20/2003 0.00 SHAVER* JUDY A. 2031 10/20/2003 0.00 SMITH* RICHARD E 20044 06/14/04 0.00 SMITH* RICKIE E. 2145 10/20/2003 0.00 SMOLESKI* LOUIS S. 1864 10/16/2003 0.00 STEWART* NANCY L 20215 06/22/04 0.00 STEWART* TERRY L 20214 06/22/04 0.00 TEAGUE* PAUL 1607 10/14/2003 0.00 WEBCO INTERNATIONAL LLC (TOM EVANS) 986 9/29/2003 0.00 WHIRLOW* MARGARET 20171 06/21/04 0.00 YEAGER, JR.* JOHN 20029 06/10/04 5,000.00 ZAMBON* MARYJO 2723 10/27/2003 0.00 EXHIBIT E CLAIMS WITHOUT MERIT TO BE DISALLOWED AND EXPUNGED CREDITOR CLAIM # CLAIM DATE CLAIM AMOUNT
ALLEN* BESSIE M. 2653 10/22/2003 9,000.00 BIVEDER* BLINCHE 617 9/23/2003 0.00 BLUMENTHAL* DEVARA LEE 787 9/26/2003 0.00 BROWN* YOLANDAE 2483 10/20/2003 0.00 COLE* DAVID R 20524 7/16/2004 0.00 DINOFRIO* JOHN D 2549 10/20/2003 0.00 FIELD* ESTA L. 2434 10/20/2003 420.00 FIJEWSKI* RAYMOND J 2748 11/24/2003 0.00 FULMER* GERALD K 2505 10/20/2003 0.00 FULMER* GERALD K 2506 10/20/2003 0.00 GORY JR.* WATUS 2710 10/30/2003 0.00 HARMS* MICHAEL J 2580 10/20/2003 0.00 KAPIRIS* GUS 2504 10/20/2003 0.00 KAPIRIS* GUS 2502 10/20/2003 0.00 KAPIRIS* GUS 2501 10/20/2003 0.00 KAPIRIS* GUS 2503 10/20/2003 0.00 LONG* TERRY L 2498 10/20/2003 0.00 McABEE* MICHAEL D 403 9/15/2003 3,000.00 McABEE* MICHAEL D 405 9/15/2003 2,000.00 MICHELE PULICE 2596 10/20/2003 0.00 MILLS* RICHARD H 716 9/25/2003 0.00 PAIDOUSIS* GEORGE 600 9/23/2003 0.00 PANACCI* JOYCE A 1436 10/7/2003 0.00 PORTER* MARK E 2385 10/20/2003 0.00 RITCHIE* MICHELE M 2674 10/24/2003 0.00 SCHUETZ* WAYNE D 603 9/23/2003 0.00 SCHWARTZ* NORMA 1308 10/6/2003 0.00 SIMMONS* CAROL ANN 2325 10/20/2003 0.00 SINNETT* JOHN W 2088 10/20/2003 0.00 SNYDER* JOYCE 2499 10/20/2003 0.00 TAYLOR* ANITA R. 2658 10/16/2003 0.00 TRIVOLI* VINCENT 2164 10/17/2003 0.00 WELLING* RENARD C 2500 10/20/2003 0.00 WEST* RANDY E 2329 10/20/2003 0.00 YEAGER JR.* JOHN 270 9/15/2003 110,733.78 YOCUM* HARRY L. 2572 10/20/2003 0.00EXHIBIT F CLAIMS THAT HAVE BEEN PAID, SETTLED OR OTHERWISE SATISFIED TO BE DISALLOWED AND EXPUNGED CREDITOR CLAIM # CLAIM DATE CLAIM AMOUNT ANTHONY CRANE RENTAL INCORPORATED 50093 10/20/2003 160,794.95 BLUE CROSS OF WESTERN PA 50148 10/20/2003 3,636,483.97 ERB ELECTRIC COMPANY INCORPORATED 50306 10/20/2003 266,817.35 ESOP 84 (United Bank) 2123 10/20/2003 5,000.00 ESOP 89 (United Bank) 2122 10/20/2003 5,000.00 MABCO STEAM COMPANY, LLC 1933 10/17/2003 33,096,367.00 MICRO GRINDING SYSTEMS 1319 10/6/2003 0.00 REYNOLDS SERVICE INCORPORATED 50754 10/20/2003 331,692.58 EXHIBIT G CLAIMS TO BE ALLOWED IN REDUCED AMOUNT
FILED CLAIM ALLOWED CLAIM CREDITOR CLAIM # AMOUNT AMOUNT
ASTRO CONTAINER COMPANY, ET AL. 1478 991,000.43 13,000.00
EXHIBIT H
CLAIMS TO WHICH OBJECTION IS WITHDRAWN WITHOUT PREJUDICE CREDITOR CLAIM # CLAIM AMOUNT
HENKEL CORPORATION SURFACE TECHNOLOGIES GROUP 1575 5,665,976.46 WEIRTON AREA WATER BOARD 2728 32,301.28 DAVIS* CINDI D 20477 18,332.00 SOLID WASTE SERVICES, INC. 2003 15,906,253.21EXHIBIT I CLAIMS TO WHICH OBJECTION HEARING AND RESPONSE DEADLINE ARE CONTINUED CREDITOR CLAIM # CLAIM AMOUNT
CROWN CORK SEAL 2337 555,000.00 IMPRESS 2211 1,600,090.14 NEW PROCESS STEEL, L.P. 1837 593,699.14 VAN CAN 2000 201,850.80 WINNER STEEL SERVICES 1973 336,706.74