Tuesday January 30 10:52 AM ET
W.R. Grace Studies Chapter 11
NEW YORK (Reuters) - W.R. Grace & Co. (NYSE:GRA - news) shares fell about 30 percent on Tuesday after the company said it was considering filing for Chapter 11 bankruptcy protection because of a rising number of asbestos-related injury suits.
The company said it would consider all options to resolve the financial strain of the asbestos cases, including bankruptcy protection.
``There are a lot of advantages and disadvantages to filing for Chapter 11,'' Paul Norris, chairman and chief executive, said Tuesday. ``Obviously, we would rather conclude this sooner rather than later,'' he said, although he added the company has no timetable.
Shares of the company were down 82 cents at $1.98 on the New York Exchange.
W.R. Grace, which is based in Columbia, Md., said asbestos-related claims rose 81 percent in 2000. A total of 48,786 bodily injury claims were received in 2000, higher than any other year, the company said.
As of December 31, Grace had seven property damage lawsuits, nine attic insulations class action lawsuits, and 124,907 bodily injury claims pending.
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