EnPro Industries (USA; 5251R9N7) Garlock Sealing Technologies division has filed for bankruptcy in order to resolve ongoing asbestos litigation.

The voluntary bankruptcy petition stays all current action, and will attempt to establish a trust fund to administer all current and future asbestos personal injury claims against Garlock Sealing Technologies.

GGB Bearing Technology, formerly Glacier Garlock Bearings, is not involved in Garlock Sealing's bankruptcy.

Dale Herold, President of Garlock Sealing Technologies, said: "With this action, we moved toward resolving asbestos claims against our company in a permanent, transparent and efficient manner. We have begun a process that we believe will result in a comprehensive resolution of all current and future claims against Garlock while preserving the value and protecting the future of our company and without interruption of our normal business operations."

All of the claims are tied to a former Garlock operation, Anchor Packing Company, which ceased operations in the mid-1990s. For the past 35 years, Garlock said it has concluded (including judgments, settlements and dismissals) and, together with its insurers, paid over $1.4 billion in settlements and judgments and over $400 million in fees and expenses.

Garlock Sealing said it expects to continue operating normally as a claims settlement process is worked out. EnPro emphasized the Garlock Sealing is a core business unit.

Mr. Herold said: "This step is not an indication of current financial distress at Garlock. Our company is strong. We believe we can fund a settlement trust in full with our own resources while maintaining our position as the leader in fluid sealing technology and preserving our opportunities for growth."

Steve Macadam, EnPro's President and CEO, said: "We are completely committed to Garlock. It is a core investment, and we will continue to seek opportunities for growth in the markets it serves."

The filing covers only Garlock operations in Palmyra, NY and Houston, TX. No other Garlock sealing operations are involved: Garlock Rubber Technologies, Garlock Helicoflex, Pikotek, Technetics, Garlock Europe, Garlock's Canadian, Mexican or Australian operations, nor is EnPro or any other EnPro operation or GGB Bearing Technology.