Owens Corning organized a gala day for staff on 16 November 2006, just over two weeks after the Fortune 500 firm emerged from a six-year bankruptcy. As they came to work, the 1,100 employees at the fi…
Owens Corning organized a gala day for staff on 16 November 2006, just over two weeks after the Fortune 500 firm emerged from a six-year bankruptcy. As they came to work, the 1,100 employees at the firm“s headquarters in Toledo, Ohio were greeted by the fiber-glass maker“s famed Pink Panther mascot and by top executives, including Chief Executive David Brown and Chairman Michael Thaman. They found balloons and displays throughout the headquarters, were given a free lunch, and each worker received a certificate for 100 shares of newly issued stock, worth nearly USD 3,000 on the market. They also saw how many of the firm“s 20,000 workers were celebrating in such cities as Toronto, Shanghai, and Mexico City, through an electronic link up that was viewed by workers at about 100 of the firm“s 300 worldwide facilities. “It“s an exciting day for Toledo, Ohio, and for the world”, said Mr. Brown in an interview. ” … It“s a big deal”. Mr. Brown and other top executives personally handed out the stock certificate to headquarters employees. “This is one way of saying thanks and [recognizing] their commitment”, he said. “They“re shareholders, and we think they are the future of the company”. The employees are required to keep the shares for three years. Among those who received their certificates from Mr. Brown was Rich Biggs, a computer programmer, who said, “It gives me an added sense of connection…I have an equity stake, an ownership share”. Owens Corning filed for Chapter 11 bankruptcy in 2000 to deal with billions of dollars in asbestos-injury liability. The firm, which had sales in 2005 of USD 6.3 billion, emerged from bankruptcy on 31 October 2006. Its new shares, traded under the ticker symbol of OC, began trading 1 November 2006 on the New York Stock Exchange. Top officers rang the opening bell for NYSE on 13 November. The USD 8.6 billion settlement with creditors included USD 5 billion cash and much of its stock for an independent trust fund to pay asbestos victims; much of the rest of the stock went to bondholders. Its earlier shares were voided, but holders received warrants giving them rights to buy new shares at a certain price in the future.