Exhibit 10.22

 

UNITED STATES BANKRUPTCY COURT

FOR THE DISTRICT OF DELAWARE

 

IN RE:

 

:

 

Chapter 11

 

 

:

 

Case Nos. 01-1139 through 01-1200

W.R. GRACE & CO., et al.,

 

:

 

 

 

 

:

 

 

Debtors.

 

:

 

 

---------------------------------------------

 

:

 

 

OFFICIAL COMMITTEE OF

 

:

 

Adv. No. 02-2210

ASBESTOS PERSONAL INJURY

 

:

 

[LEAD DOCKET]

CLAIMANTS and OFFICIAL

 

:

 

 

COMMITTEE OF ASBESTOS

 

:

 

 

PROPERTY DAMAGE

 

:

 

 

CLAIMANTS OF W.R. GRACE &

 

:

 

 

CO., suing in behalf of

 

:

 

 

the Chapter 11 Bankruptcy

 

:

 

 

Estate of W.R. Grace &

 

:

 

 

Co., et al.,

 

:

 

 

 

 

:

 

 

Plaintiffs,

 

:

 

 

 

 

:

 

 

v.

 

:

 

 

 

 

:

 

 

SEALED AIR CORPORATION

 

:

 

 

AND CRYOVAC, INC.,

 

:

 

 

 

 

:

 

 

Defendants.

 

:

 

 

--------------------------------------------

 

:

 

 

 

 

:

 

 

OFFICIAL COMMITTEE OF

 

:

 

Adv. No. 02-2211

ASBESTOS PERSONAL INJURY

 

:

 

 

CLAIMANTS and OFFICIAL

 

:

 

 

COMMITTEE OF ASBESTOS

 

:

 

 

PROPERTY DAMAGE

 

:

 

 

CLAIMANTS OF W.R. GRACE &

 

:

 

 

CO., suing in behalf of

 

:

 

 

The Chapter 11 Bankruptcy

 

:

 

 

Estate of W.R. GRACE &

 

:

 

 

CO., et al.,

 

:

 

 

 

 

:

 

 

Plaintiffs,

 

:

 

 

 

 

:

 

 

v.

 

:

 

 

 

 

:

 

 

FRESENIUS MEDICAL CARE

 

:

 

 

HOLDINGS, INC. and

 

:

 

 

NATIONAL MEDICAL CARE,

 

:

 

 

INC.,

 

:

 

 

 

 

:

 

 

Defendants.

 

:

 

 

 

 

 

1

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This 27th day of November 2002, counsel for defendant Sealed Air Corporation and
Cryovac, Inc., Fresenius Medical Holdings, Inc., and National Medical Care,
Inc., and counsel for the plaintiffs the Official Committee of Asbestos Personal
Injury Claimants and the Official Committee of Asbestos Property Damage
Claimants in the above captioned chapter 11 case, appeared before the Court and
affirmed that the parties had reached an amicable resolution of the disputes
that are the subject of the above-captioned adversary proceedings and that they
had agreed and bound their parties to the terms reflected in the term sheets
attached hereto.  This settlement and this acknowledgement by the Court is
without prejudice to any objection that may be raised to a motion for approval
of the settlement by this Court pursuant to the United States Bankruptcy Code
and the Federal Rules of Bankruptcy Procedure.

 

 

 

 

/s/ Alfred M. Wolin

 

 

Alfred M. Wolin, U.S.D.J.

 

 

 

Signed and agreed to by:

 

 

 

 

 

/s/ Sheila L. Birnbaum

 

Sheila L. Birnbaum

 

 

For Sealed Air Corporation and Cryovac, Inc.

 

 

 

 

 

 

 

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/s/ David Rosenbloom

 

David Rosenbloom

 

For Fresenius Medical Holdings, Inc. and National Medical Care, Inc.

 

 

 

 

/s/ Peter Van N. Lockwood

 

Peter Van N. Lockwood

 

For the Official Committee of Asbestos Personal Injury Claimants

 

 

 

 

/s/ Scott L. Baena

 

Scott L. Baena

 

For the Official Committee of Asbestos Property Damage Claimants

 

 

 

3

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TERM SHEET

 

 

                (Fresenius Term Sheet omitted.)

 

 

 

 

4

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Term Sheet

 

(1)           Economic Terms

 

(a)                                   9 million shares of Sealed Air stock,
subject to appropriate anti-dilution protection until such time as the shares
are issued

 

(b)                                  The sum of $512.5 million together with
interest thereon from 12/21/02 at the rate of 5.5% per annum.  The payment under
this paragraph must be made in full at the effective date of the Grace plan of
reorganization.

 

(c)                                   Full protection of Sealed Air against any
claims by Fresenius against Sealed Air for any tax liabilities or for any
asbestos liabilities, including past and future attorneys fees or litigation
costs related thereto, whether asserted by way of fraudulent conveyance,
successor liability, or otherwise.

 

(d)                                  Sealed Air will not seek indemnity for
payments made under this agreement

 

(2)                                    Non-economic terms

 

(a)           Restrictions on resale of Sealed Air stock for two years from the
issuance consistent with Rule 144 under the Securities Act of 1933, provided
that during the initial two-year period, the holders of the stock will have (i)
piggyback registration rights, except that there will be no piggyback
registration rights on a Form S-8 registration statement and (ii) one demand
registration right in the aggregate provided further that Sealed Air may defer
such registration for any period that it is advised by counsel that registration
would then be inappropriate in light of the securities laws

 

(b)          The Committees will undertake to use best efforts to structure
settlement to achieve favorable tax treatment for settlement

 

(c)           This agreement is subject to Sealed Air and its affiliates,
subsidiaries, officers, directors et alia receiving the full benefit of 11
U.S.C. §§ 524 (g) and 105

 

(d)          This agreement is subject to the approval of Sealed Air’s Board and
the Personal and Property Damage Committees (which will be sought by the
respective parties no later than December 6, 2002), and to the execution of a
definitive agreement reflecting the terms set forth herein.

 

 

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