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Environment
Sunoco liable in phenol case
October 3, 2005
| A version of this story appeared in
Volume 83, Issue 40
An arbitrator has found Sunoco liable for breaching a phenol supply agreement in a case filed by Honeywell International, Sunoco says. The arbitration concerns prices charged to Honeywell for phenol produced at Sunoco's Philadelphia plant between July 2003 and the end of 2004. The decision assesses damages of $40 million after tax, which will be charged against Sunoco's earnings for third-quarter 2005. The award also includes additional damages for the period of Jan. 1 through April 30, 2005, which have been suspended pending the outcome of a challenge Sunoco has brought in federal district court.
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