Toledo, Ohio - March 5 - Owens Corning, based here, will drop a two-year-old lawsuit seeking to recover expenses associated with its Y2K computer conversions. The petition, filed in a Delaware state court in March 2001, sought $49 million from six of the company’s insurers.

O-C decided to drop the suit, which had just entered the discovery phase, after gaining permission from a U.S. bankruptcy judge overseeing the company’s Chapter 11 case. According to Dow Jones newswire, the building- materials supplier cited costs and an uncertain outcome as reasons for abandoning the lawsuit. Court papers cite only 21 corporations that have initiated or pursued Y2K insurance coverage litigation. A number of these parties have already dismissed these complaints.

O-C manufacturers and distributes insulation, roofing materials, vinyl siding and other building materials. The company filed for bankruptcy protection in October 2000, citing financial drain from asbestos litigation and settlements.

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-- Anonymous, March 07, 2002