Chemtrade Settles Main Class Action Lawsuit
TORONTO, Ontario, November 1, 2018 – Chemtrade Logistics Income Fund (“Chemtrade”) (TSX: CHE.UN) announced that it has settled the main class action civil lawsuit related to alleged anti-competitive conduct of General Chemical entities acquired by Chemtrade in 2014. The settlement remains subject to interim and final approval by the court and consists of a payment of US$51 million plus assignment of the proceeds, net of defence costs, of the outcome of Chemtrade’s dispute with the vendor of General Chemical. A number of related civil proceedings based on the same conduct remain outstanding. This will result in Chemtrade taking a reserve of $35 million in its third quarter financial statements to be released on November 8, 2018.
Chemtrade operates a diversified business providing industrial chemicals and services to customers in North America and around the world. Chemtrade is one of North America’s largest suppliers of sulphuric acid, spent acid processing services, inorganic coagulants for water treatment, sodium chlorate, sodium nitrite, sodium hydrosulphite and phosphorus pentasulphide. Chemtrade is a leading regional supplier of sulphur, chlor-alkali products, liquid sulphur dioxide, potassium chloride, and zinc oxide. Additionally, Chemtrade provides industrial services such as processing by-products and waste streams.
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For further information:
President & CEO
Tel: (416) 496-4176
Vice President, Finance & CFO
Tel: (416) 496-4177