Babcock & Wilcox Asbestos Trust Annual Reports, 2010–2025

The Babcock & Wilcox Trust ended 2025 with $296.13 million in total assets and $295.32 million in net assets, an increase of $5.49 million during the year. Investment appreciation and alternative-investment gains totaled $25.12 million, and net interest and dividend income contributed $6.97 million. These $32.08 million of additions exceeded $26.59 million in deductions, including $19.50 million in claims expense, $4.79 million in operating expenses, and $2.29 million in claims-processing expenses. Cash ended the year at $10.53 million.

The Trust received 26,604 unliquidated claims and paid 18,555, comprising 4,341 malignancy and 14,214 non-malignancy claims, distributing approximately $19.89 million. No pre-petition liquidated claims were paid. Cash distributions exceeded recognized claims expense as settled but unpaid claims fell from $1.10 million to approximately $720,000.

The Babcock & Wilcox Trust ended 2024 with $291.70 million in total assets and $289.82 million in net assets, a decrease of $18.06 million. Investment gains and net interest and dividend income produced $17.81 million of additions, which did not cover $35.86 million in deductions. The report recognizes $28.55 million in claims expense and $7.31 million in combined operating and claims-processing expenses. Cash declined to $4.81 million at year end.

The Trust received 27,781 unliquidated claims and paid 19,030, including 5,176 malignancy and 13,854 non-malignancy claims, distributing approximately $28.52 million. It also paid seven pre-petition liquidated claims totaling approximately $11,285.

The Babcock & Wilcox Trust ended 2023 with $309.92 million in total assets and $307.88 million in net assets, an increase of approximately $735,000 during the year. Investment appreciation and alternative-investment gains totaled $23.20 million, and net interest and dividend income added $7.15 million. These $30.35 million of additions slightly exceeded $29.62 million in deductions, including $23.35 million in claims expense and $6.27 million in combined operating and processing expenses. Year-end cash was $25.06 million.

The Trust received 19,207 unliquidated claims and paid 14,478, comprising 4,378 malignancy and 10,100 non-malignancy claims, distributing approximately $22.84 million. No pre-petition liquidated claims were paid. The financial statements' higher claims expense reflects, in part, an increase in settled but unpaid claims.

The Babcock & Wilcox Trust ended 2022 with $308.18 million in total assets and $307.15 million in net assets, down $64.96 million for the year. Investment securities and alternative investments lost a combined $38.05 million in value, while net interest and dividend income contributed $6.58 million. The Trust also recognized $26.12 million of claims expense and $7.39 million in combined operating and claims-processing expenses. Cash ended the year at $17.95 million; investment losses and claims costs were the main drivers of the decline in net assets.

The Trust received 22,862 unliquidated claims and paid 13,509, including 4,323 malignancy and 9,186 non-malignancy claims, distributing approximately $26.36 million. No pre-petition liquidated claims were paid. Reported cash distributions are distinct from recognized claims expense; settled but unpaid claims declined from approximately $801,000 to $561,000.

The Babcock & Wilcox Trust ended 2021 with $375.27 million in total assets and $372.11 million in net assets available for claims, a decrease of $23.12 million. Investment gains and income generated $19.94 million of additions, against $43.05 million of deductions. Deductions included $29.32 million in claims expense, $6.95 million in combined operating and claims-processing expenses, and $6.79 million in income tax expense. Cash was $10.73 million at year end.

The Trust received 14,138 unliquidated claims and paid 12,642, comprising 4,359 malignancy and 8,283 non-malignancy claims, distributing approximately $28.86 million. No pre-petition liquidated claims were paid. The financial statements' $29.32 million claims expense differs from cash distributions, with settled but unpaid claims rising from approximately $350,000 to $801,000.

The Babcock & Wilcox Trust ended 2020 with $396.25 million in total assets and $395.23 million in net assets available for claims, down $8.82 million for the year. Investment appreciation, alternative-investment gains, and interest and dividends produced $27.29 million of additions. Net deductions totaled $36.10 million, including $32.96 million in claims expense and $6.14 million in combined operating and processing costs, partly offset by a $3.00 million income tax benefit. Cash ended the year at $9.07 million.

The Trust received 16,189 unliquidated claims and paid 17,332, including 4,892 malignancy and 12,440 non-malignancy claims, distributing approximately $33.00 million. No pre-petition liquidated claims were paid.

The Babcock & Wilcox Trust ended 2019 with $405.57 million in total assets and $404.04 million in net assets available for claims, a decrease of $1.75 million. Investment gains and income, together with approximately $707,000 of insurance recoveries, generated $41.18 million of additions. These nearly covered $42.93 million of net deductions, including $35.79 million in claims expense and $7.17 million in operating and claims-processing expenses. Year-end cash was $17.66 million.

The Trust received 22,429 unliquidated claims and paid 14,852, comprising 4,575 malignancy and 10,277 non-malignancy claims, distributing approximately $37.00 million. No pre-petition liquidated claims were paid. The report records the August 2, 2019 notice reducing the payment percentage from 11.9% to 8.8% following consultation and consent.

The Babcock & Wilcox Trust ended 2018 with $407.92 million in total assets and $405.79 million in net assets available for claims, down $53.58 million for the year. Investment securities and alternative investments lost a combined $17.39 million in value. Interest and dividends of $10.18 million and insurance recoveries of $2.40 million partly offset those losses and the year's expenses, which included $39.52 million of claims expense, $7.02 million of operating and processing costs, and $2.24 million of income tax expense. Cash was $29.12 million.

The Trust received 22,892 unliquidated claims and paid 12,701, including 4,486 malignancy and 8,215 non-malignancy claims. Distributions totaled approximately $38.78 million after the payment percentage and applicable sequencing adjustment; no pre-petition liquidated claims were paid. The combination of investment losses and claims costs drove the reduction in net assets.

The Babcock & Wilcox Trust ended 2017 with $462.74 million in total assets and $459.38 million in net assets available for claims, a decrease of $13.21 million. Investment appreciation, gains in alternative investments, and interest and dividends produced $38.37 million of additions. These offset much, but not all, of $51.58 million in deductions, including $41.96 million in claims expense, $6.84 million in combined operating and processing expenses, and $2.77 million in income tax expense. Cash was $27.63 million at year end.

The Trust received 21,808 unliquidated claims and paid 16,157, comprising 5,150 malignancy and 11,007 non-malignancy claims, distributing approximately $46.1 million. No pre-petition liquidated claims were paid. Cash distributions exceeded recognized claims expense as settled but unpaid claims declined from $5.03 million to approximately $894,000.

The Babcock & Wilcox Trust ended 2016 with $478.55 million in total assets and $472.58 million in net assets available for claims, down $45.25 million for the year. Additions totaled $10.20 million, largely from $10.38 million of interest and dividends, partly offset by investment losses. Deductions totaled $55.45 million, including $47.19 million in claims expense, $5.15 million in operating expenses, and $3.05 million in claims-processing expenses. Year-end cash was $23.92 million.

The Trust received 19,675 unliquidated claims and paid 14,028, including 4,380 malignancy and 9,648 non-malignancy claims, distributing approximately $42.5 million. No pre-petition liquidated claims were paid. Recognized claims expense exceeded cash distributions as settled but unpaid claims increased from approximately $356,000 to $5.03 million, an important distinction when reading the year's results.

The Babcock & Wilcox Trust ended 2015 with $519.08 million in total assets and $517.83 million in net assets available for claims, a decrease of $89.29 million. Interest and dividends of $12.49 million and insurance recoveries of $222,000 were partly offset by investment valuation losses, leaving $9.17 million of additions. Total deductions were $98.47 million, led by $89.10 million in claims expense, with operating expenses of $5.25 million and claims-processing expenses of $3.56 million. Cash ended the year at $17.23 million.

The Trust received 23,189 unliquidated claims and paid 15,248, comprising 5,436 malignancy and 9,812 non-malignancy claims, distributing approximately $89.5 million after the payment percentage and applicable sequencing adjustment. No pre-petition liquidated claims were paid during the year.

The Babcock & Wilcox Trust ended 2014 with $608.45 million in total assets and $607.12 million in net assets available for claims, down $26.05 million for the year. Investment results, interest and dividends, and $2.75 million of insurance recoveries produced $29.69 million of additions. Deductions totaled $55.74 million, including $46.19 million of claims expense and $9.56 million of combined operating and claims-processing expenses. Year-end cash was $37.71 million.

The Trust received 16,983 unliquidated claims and paid 15,944, including 6,896 malignancy and 9,048 non-malignancy claims. It distributed approximately $45.5 million on those claims, plus approximately $197,000 on four pre-petition liquidated claims.

The Babcock & Wilcox Trust ended 2013 with $634.25 million in total assets and $633.18 million in net assets available for claims, a decrease of $11.76 million during the year. Investment gains and interest and dividend income generated $26.69 million of additions, which did not fully cover $38.45 million of deductions. Those deductions comprised $27.83 million in claims expense, $7.17 million in operating expenses, and $3.45 million in claims-processing expenses. Year-end cash was $58.16 million.

The Trust received 23,695 unliquidated claims and paid 13,885, comprising 3,927 malignancy and 9,958 non-malignancy claims. Payments on those claims totaled approximately $27.6 million after the payment percentage and applicable sequencing adjustment; two pre-petition liquidated claims added approximately $2,000.

The Babcock & Wilcox Trust ended 2011 with $695.98 million in total assets and $682.94 million in net assets available for claims, down $66.22 million for the year. Additions totaled $59.29 million, including $21.57 million of insurance recoveries, $20.08 million of investment appreciation, and $17.64 million of interest and dividends. Claims expense of $115.51 million and operating and processing costs brought total deductions to $125.50 million. Cash was $72.41 million, while settled but unpaid claims stood at $12.33 million.

The Trust received 29,979 unliquidated claims and paid 30,830, including 7,123 malignancy and 23,707 non-malignancy claims, distributing approximately $115.3 million. It also paid 43 pre-petition liquidated claims totaling approximately $60,000. The report records the December 21, 2011 notification that the payment percentage was being reduced to 11.9% with TAC and FCR consent.

The Babcock & Wilcox Trust ended 2010 with $751.14 million in total assets and $749.15 million in net assets available for claims, a decrease of $133.28 million during the year. Insurance recoveries of $38.51 million, investment appreciation of $25.30 million, and interest and dividends of $20.84 million provided $84.64 million of additions, against $217.92 million of claims and administrative expenses. Year-end cash was $63.93 million.

The Trust received 86,510 unliquidated claims and paid 52,120, distributing approximately $346.73 million; it also paid 25 pre-petition liquidated claims totaling approximately $130,000. These cash distributions exceed the $205.19 million claims expense recognized in 2010, reflecting payment timing: settled but unpaid claims fell from $143.11 million to $1.43 million. The report describes use of a proposed 15% payment percentage while consent was pending.