Flashings

• Photo courtesy of Don McCrory.
• Photo courtesy of Lagniappe Studio, New Orleans.
• Photo courtesy of Don McCrory.
• Photo courtesy of Don McCrory.
• Photo courtesy of Sharp Roofing Associates Inc., Ironia, N.J.
• Photo courtesy of Sharp Roofing Associates Inc., Ironia, N.J.
• Photo courtesy of Sharp Roofing Associates Inc., Ironia, N.J.
• Photo courtesy of Jurin Roofing Services, Inc., Quakertown, Pa.
• Photo courtesy of Jurin Roofing Services, Inc., Quakertown, Pa.
• Photo courtesy of Jurin Roofing Services, Inc., Quakertown, Pa.
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Integrated Roofing and Waterproofing files Chapter 11

Consolidated roofing company Integrated Roofing and Waterproofing Inc., Houston, filed for Chapter 11 bankruptcy protection on March 8. The filing includes Atlas Roofing Co. Inc., Atlanta; Beta Construction Co. Inc., Capital Heights, Md.; Boone Brothers Roofing Inc., Omaha, Neb.; Delta Roofing Inc., North Billerica, Mass.; Hampton Supply Inc., Capital Heights; M.J. Dalsin Co. Inc., Fargo, N.D.; and M.J. Dalsin Co. of South Dakota Inc., Sioux Falls.

Integrated Roofing and Waterproofing was established in 1999 and employs more than 1,200 workers. The company offers a full range of roofing and waterproofing system installations and services. The company's primary assets include equipment; accounts receivable; cash; inventory; goodwill; and intangibles, including a significant market share, customer and vendor relationships, and experienced personnel.

The company is seeking a buyer and issued an invitation letter to interested parties. The deadline for bid submissions was April 16. A hearing occurred April 22 to approve the sale of the business. At press time, the hearing's outcome was not known.

Honeywell may pay more in asbestos case

Honeywell International, Morristown, N.J., may be responsible for paying a settlement for an asbestos case greater than the $1.1 million it originally disclosed.

The asbestos case involved a man who died of mesothelioma from asbestos exposure. The disease is a rare form of cancer that is found in the sac lining the chest (the pleura) or abdomen (the peritoneum). The man was exposed to asbestos at Elyria, Ohio-based Bendix Commercial Vehicle Systems, a former Honeywell subsidiary that made asbestos-containing brake linings, where he worked for one year. For 20 years, he was a Coast Guardsman and also exposed to asbestos.

The jury found Honeywell liable for 2.3 percent of the $53 million verdict, which amounts to about $1.1 million. But because the company is the only nonbankrupt defendant that did not settle before the verdict and the jury found the company's conduct "reckless," it may be responsible for the bankrupt co-defendants' amounts totaling $11 million.

Honeywell claims its original explanation of its liability was accurate and plans to appeal the decision. According to the company, any judgment will be fully covered by asbestos insurance.

A press release issued by Honeywell explains: "Honeywell believes the $53 million jury verdict was an aberration and is confident the verdict will be overturned or substantially reduced on appeal. … The company does not believe the ridiculously large award of $36 million to the plaintiff's spouse for the loss of consortium can stand on appeal."

Those supporting Honeywell and companies in similar situations also disagree with the verdict. Karen Kerrigan, chairwoman of the Small Business Survival Committee, wrote in a letter to the editor to The New York Times: "Asbestos manufacturers have been picked dry, so now plaintiffs' attorneys are going after large companies, as well as small businesses, that used or sold products that had asbestos without knowing their harmful health effects. … Congress needs to address this problem before it damages our economy."

EWIC issues labor shortage report

The Essential Worker Immigration Coalition (EWIC) issued its March "Documenting the Labor Shortage" report. The report was produced for the White House and is an update to the Chamber of Commerce's testimony to Congress in 2001 about the nation's labor needs.

The report attributes the labor shortage to the aging work force and fewer new workers available to support the nation's growth. EWIC says more than 60 million employees likely will retire during the next 30 years.

"After 2011, the year in which the first of the baby boomers turns 65, their flight to retirement will reach proportions so huge as … to reduce the total size of the nation's work force," says Richard Judy of the Hudson Institute, Indianapolis.

EWIC says immigration issues also play a role in the labor deficit. The coalition supports the development of policy to allow foreign workers to supplement the U.S. work force and alleviate the labor shortage.

EWIC's report gives several examples of industries experiencing a worker shortage, including the roofing industry. The report indicates the labor shortage is the greatest problem roofing contractors face. The U.S. Bureau of Labor Statistics projects 50,000 additional roofing workers will be needed during the next decade to fulfill demand.