Yarway Asbestos Trust Annual Reports, 2015–2025

Yarway ended 2025 with net claimants’ equity of $213.34 million, down $5.01 million from $218.35 million. Interest and dividend income of $6.34 million, realized gains of $3.57 million, and unrealized gains of $10.77 million supported $22.65 million in claims settled. Investment advisory fees were $618,548, administrative and professional expenses totaled approximately $1.33 million, and federal income tax expense was $1.109 million. Stronger investment gains and lower settlement expense substantially moderated the decline compared with 2024.

The audited claims note reports 5,984 claims paid for $22,246,921 and $2,968,551 in settlements remaining unpaid at year-end. The annual-report narrative instead reports approximately $22,238,831 paid, an $8,090 difference that is not reconciled in the report. The summary uses the audited claims-note amount while preserving that discrepancy. The narrative also records 15,668 unliquidated claims received during the year.

Yarway’s net claimants’ equity declined $22.72 million in 2024, from $241.07 million to $218.35 million. Interest and dividend income of $6.67 million and combined realized and unrealized gains of $5.31 million did not cover $32.35 million in claims settled, $710,098 in investment advisory fees, approximately $1.30 million in administrative and professional expenses, and $327,800 in federal income tax.

The audited claims note reports $31.58 million paid on 17,263 claims, comprising $15.02 million in supplemental payments on 13,377 claims and $16.56 million in original payments on 3,886 claims. The sharp increase in paid-claim activity therefore reflects a substantial supplemental-payment program, rather than solely newly compensated claimants. Settled claims payable increased to $2.56 million at year-end, and smaller investment gains than in 2023 added to the pressure on resources.

Yarway ended 2023 with net claimants’ equity of $241.07 million, down $5.18 million from $246.25 million. Interest and dividend income of $6.68 million, realized gains of $225,552, and unrealized gains of $13.05 million supported $22.96 million in claims settled. Investment advisory fees totaled $745,610, administrative and professional expenses were approximately $1.44 million, and no federal income tax expense was recorded.

The audited claims note reports 5,438 claims paid for $23.13 million, with $1.79 million in settled claims remaining unpaid at year-end. The return to positive investment results and lower settlement expense sharply reduced the decline in equity compared with 2022. Cash payments exceeded the current-year settlement charge as the Trust also paid previously recognized obligations.

Yarway’s net claimants’ equity fell $49.39 million in 2022, from $295.64 million to $246.25 million. Unrealized investment losses of $27.65 million and realized losses of $326,138 outweighed $6.07 million in interest and dividend income. Claims settled increased to $25.19 million, while investment advisory fees were $815,649 and administrative and professional expenses totaled approximately $1.57 million. No federal income tax expense was recorded.

The audited claims note reports 6,269 claims paid for $25.11 million, with $1.96 million in settled claims unpaid at year-end. Both investment losses and increased settlement expense contributed to the substantial reduction in equity. Most of the investment loss was unrealized, so the decline in reported resources was not equivalent to cash paid out during the year.

Yarway ended 2021 with net claimants’ equity of $295.64 million, down $8.22 million from $303.86 million. Interest and dividend income of $6.28 million, realized gains of $5.94 million, and unrealized gains of $2.96 million provided approximately $15.18 million in total additions. Claims settled totaled $20.30 million, with $967,955 in investment advisory fees, approximately $1.19 million in administrative and professional expenses, and $1.04 million in federal income tax.

The audited claims note reports 4,231 claims paid for $20.22 million and $1.88 million in settlements unpaid at year-end. Although settlement expense and taxes were lower than in 2020, smaller investment gains and the absence of the prior year’s $1.277 million corporate distribution resulted in a somewhat larger decline in equity.

Yarway’s net claimants’ equity declined $6.71 million in 2020, from $310.56 million to $303.86 million. Interest and dividend income of $6.63 million, realized gains of $4.73 million, and unrealized gains of $8.90 million were supplemented by a $1.277 million distribution from Yarway Corporation following a property sale. Deductions included $23.51 million in claims settled, $872,905 in investment advisory fees, approximately $1.38 million in administrative and professional expenses, and $2.48 million in federal income tax.

The audited claims note reports $23.24 million in cash claim payments and $1.79 million in settled claims remaining unpaid at year-end. Settlement expense increased from $17.89 million in 2019, while investment gains were smaller. The additional corporate distribution helped fund that activity, but total additions still fell short of the year’s claims and other costs.

Yarway ended 2019 with net claimants’ equity of $310.56 million, an increase of $6.65 million from $303.91 million. Interest and dividend income of $7.52 million, realized gains of $7.45 million, and unrealized gains of $14.66 million more than covered $17.89 million in claims settled, $1.04 million in investment advisory fees, approximately $1.98 million in administrative and professional costs, and $2.07 million in federal income tax expense.

The annual-report narrative records 52,306 unliquidated claims received and approximately $17.74 million paid on those claims, plus $126,708 in pre-petition claim payments. Positive investment results reversed the preceding year’s decline even as a large volume of new claims arrived. The $17.89 million settlement figure is the charge in the statement of changes in equity; it should not be treated as interchangeable with cash payments, which also reflect the timing of unpaid settlements.

Yarway’s net claimants’ equity declined $24.10 million in 2018, from $328.02 million to $303.91 million. Interest and dividend income of $6.98 million and realized gains of $454,133 were outweighed by $9.22 million in unrealized investment losses, $19.70 million in claims settled, and $1.07 million in investment advisory fees. Administrative and professional expenses were approximately $1.51 million, and federal income tax expense was $50,000.

The annual-report narrative records 18,243 unliquidated claims received and payments on 5,490 unliquidated claims totaling approximately $19.58 million, plus $186,300 on 50 pre-petition claims. Settlement expense and cash payments differ because some settlements remain unpaid at year-end. Investment losses, rather than increased settlement expense alone, were a major reason resources declined: the comparative statements show $20.02 million in claims settled in 2017.

Yarway ended 2016 with net claimants’ equity of $325.99 million, down $934,625 from $326.92 million. Investment results contributed $5.37 million after advisory fees, with $6.40 million in interest and dividend income and $2.04 million in unrealized gains partly offset by $1.96 million in realized losses and $1.11 million in advisory fees. Deductions included $4.39 million in claims settled, approximately $1.36 million in administrative and professional costs, and $550,000 in federal income tax.

The audited claims note reports 421 claims paid for $3,770,375, plus 89 settled claims totaling $622,375 that remained unpaid at year-end. Those unpaid settlements account for the difference between cash payments and the settlement expense. Investment income covered most of the Trust’s first full year of claims and operating costs, leaving its accumulated resources largely intact.

Yarway began operations on August 19, 2015, with $324.96 million in initial cash funding and ended the year with $326.92 million in net claimants’ equity. Investment results added $2.75 million after investment advisory fees, including $1.89 million in unrealized gains, while administrative and professional expenses totaled $789,047. General counsel, management consulting, and claims processing accounted for much of the initial operating cost.

The Trust began accepting unliquidated claims on December 21, 2015, and no claims were settled or paid before year-end. This first report therefore reflects funding and establishment of operations rather than a full year of claimant distributions. The Trust also received ownership of reorganized Yarway Corporation, but did not record a value for that illiquid interest; its policy was to recognize proceeds when transferred to the Trust.