Saturday, Dec 10, 2016
One of America's Great Newspapers ~ Toledo, Ohio

Local

O-I shares fall 21% on asbestos worries

Shares of Toledo's Owens-Illinois, Inc. fell $3.71 or 21 percent Wednesday and yesterday as investors sold the stock following the company's announcement that it was again increasing its estimate for settling asbestos liability lawsuits.

Nearly 5 million shares - four times the usual two-day volume - have changed hands on the New York Stock Exchange since the company late Tuesday said it had taken a $475-million accounting charge in the first quarter to increase its asbestos-liability reserve.

It was the second time in two years the company increased the estimate. O-I shares closed down $2.70 at $14.25 yesterday.

Executives of the bottle and jar manufacturer have said the firm's financial position is sound, and that O-I won't be forced into bankruptcy like many other asbestos producers. Standard & Poor's said Wednesday the asbestos reserve increase "raises concerns because the liability has exceeded earlier estimates and suggests that Owens-Illinois' obligations relative to asbestos may decline more slowly than previously expected."

Click to comment

Quis autem vel eum iure reprehenderit qui in ea voluptate velit esse quam nihil molestiae consequatur, vel illum qui dolorem?

Temporibus autem quibusdam et aut officiis debitis aut rerum necessitatibus saepe eveniet.

Copyright © 2015 Toledo Blade

To Top

Fetching stories…