Four
insurance
companies
for
Gaylord
Chemical
Co., a
subsidiary
of
Austin-based
Temple-Inland
Inc.,
will pay
in
punitive
damages
as the
result
of an
October
1995
blast at
a
Louisiana
chemical
plant,
Temple-Inland
reported
Friday
in a
filing
with the
U.S.
Securities
and
Exchange
Commission.
A
Louisiana
jury
awarded
damages
in favor
of a
class of
18
plaintiffs
who say
they
were
injured
in the
explosion
of a
rail car
at the
Bogalusa,
La.,
chemical
plant.
Before
the jury
verdict,
Gaylord
Chemical
and five
other
insurers
representing
the
company
settled
their
portion
of the
lawsuit
for an
undisclosed
sum. The
insurance
companies
-- not
Gaylord
Chemical
-- will
contribute
to the
settlement,
according
to
Temple-Inland.
The
SEC
filing
didn't
include
the
names of
the nine
insurers.
Plaintiffs'
attorney
Ronnie
Penton
argued
that
many of
the
plaintiffs
continue
to
suffer a
high
rate of
asthma
and
related
respiratory
problems,
according
to the
Bogalusa
Daily
News.
Penton
also
claims
Temple-Inland
intends
to sell
the
company
at the
conclusion
of the
case,
the
local
newspaper
reported.
Temple-Inland
executives
couldn't
be
reached
for
comment.
The
tank car
explosion
eight
years
ago led
to a
citywide
evacuation
of
Bogalusa,
a
community
in
central
Louisiana.
Temple-Inland
bought
Deerfield,
Ill.-based
Gaylord
Container
Corp.,
the
parent
company
of
Gaylord
Chemical,
in a
$786
million
stock
deal in
2001.
Gaylord
Container
makes
and
distributes
packaging
products.
Temple-Inland
[NYSE:
TIN]
manufactures
corrugated
packaging
and
building
products
and
provides
financial
services.
The
company
employs
about
1,100
people
in
Austin.
