A C & S Inc.

  • Amount in Trust: $528 million
  • Year Trust Was Created: 2008
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This page features: 11 cited research articles

History

A C & S, Inc., started as the Armstrong Cork Company. Launched in the 1920s, Armstrong’s sole business was installing cork insulation in cold storage units and facilities. Over time, Armstrong became a national corporation, primarily by buying local independent insulation companies. During the 1940s and 1950s, Armstrong profits declined, leading to a decision to spin off two companies. One of the two subsidiaries was Armstrong Contracting and Supply Corporation, which focused on insulation products and contracts.

A C & S Inc. Facts:
  • Founded: 1958
  • Years Operated: 1958 - present
  • Headquarters: Lancaster, Pennsylvania
  • Business: Insulation contracting and building products
  • Asbestos Trust: Yes
  • Bankruptcy Status: Filed Sept. 16, 2002 and reorganized May 6, 2008

In the late 1960s, Armstrong Cork separated from businesses that it deemed no longer fit the Armstrong culture, specifically Armstrong Contracting and Supply. Because the parent company did not want workers leaving on bad terms, the employees were given the option of buying out the business and having it renamed A C & S, Inc. The employees agreed. Through a series of stock transactions, A C & S was formed. A C & S continued with its insulation business, building a reputation as a reliable contractor. Irex Contracting Group purchased A C & S in 1969.

Unfortunately, the material A C & S used for insulation shifted from cork to asbestos, eventually costing the company millions in asbestos claims.

Litigation & Specific Lawsuits

From 1981 to 2002, A C & S resolved more than 247,000 individual asbestos-related lawsuits, most of which claimed the company exposed workers to the deadly mineral, triggering a number of mesothelioma diagnoses. The company was hit with nearly 55,000 claims in 2001 alone. The financial strain from these claims forced A C & S to file for Chapter 11 bankruptcy in September, 2002.

A judge rejected A C & S’s initial reorganization plan because it did not adequately take into consideration ongoing or long-term costs of these claims. In 2007, AC & S’s second reorganization was approved. It established a trust fund to handle existing and future claims against the company and required the company to place $400 million in the trust.

Among those who benefitted from the trust was the family of Jess Lemmons, who worked as a boilermaker at Todd Shipyard in Houston, Texas. Lemmons often used block insulation, pipe covering and other materials that contained asbestos. When he passed away from a related condition, Lemmons’s wife sued A C & S and won a $3 million verdict.

In 2001, A C & S lost a trial involving five people. Together with Walker Refractories and A. P. Green Industries, A C & S paid a portion of the $40 million verdict. The five claimants worked with pipe covering, cement block, insulating cements, pipefitting and asbestos bricks.

Henry Plummer, a U.S. Navy machinist who worked with contaminated insulation, gaskets and pipe coverings in warships, also won money from A C & S in 2001. Plummer, who developed mesothelioma that necessitated the removal of his left lung, received $3.1 million from his lawsuit.

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Industries & Occupations

In 1974, A C & S said it no longer would use materials containing friable asbestos. While A C & S created a policy to stop using certain kinds of the mineral in 1974, it did not stop using it entirely. According to an A C & S, Inc. bankruptcy statement, the company continued to use some friable materials on certain projects for another decade. It also continued to use material considered to be non-friable until 1985.

Asbestos was most commonly used in shipyard-related insulation for boilers. In addition to shipyard workers, common claimant vocations are pipefitters, ship fitters, sheet metal workers and A C & S factory employees. A C & S sold four types of asbestos-containing gaskets used by pipefitters. The gasket brand names are Accobest AN-B012, Accobest AS-474, Accobest AS-8073 and Accopac.

Learn More About Companies That Manufactured Asbestos Products

Products

Armstrong Contracting and Supply Company sold products used in construction. These asbestos-containing materials include cement, insulation, gaskets, tile, boards and paper.

AC & S insulation and building products containing asbestos include:

  • Air Cell Insulation
  • Armstrong’s Plastic Emulsion
  • Armstrong’s S. P. Emulsion with asbestos
  • Asbestos Cement
  • Asbestos Millboard
  • Asbestos Paper
  • Asbestos Rollboard
  • Bestfelt Pipe and Block Insulation
  • Hy-Temp Combination Insulation
  • Hy-Temp Pipe and Block Insulation
  • Mani-Ply Pipe Insulation
  • Vinyl Asbestos Tile
  • 85% Magnesia Cement
  • 85% Magnesia Pipe and Block Insulation

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Last Modified November 8, 2018

Writer

Matt Mauney is an award-winning journalist with nearly a decade of professional writing experience. He joined Asbestos.com in 2016, and he spends much of his time reading, analyzing and reporting on mesothelioma research articles to ensure people in the mesothelioma community know the latest medical advancements. Prior to joining Asbestos.com, Matt was a reporter at the Orlando Sentinel. Matt also edits some of the pages on the website. He also holds a certificate in health writing from the Centers for Disease Control and Prevention.

Walter Pacheco, Managing Editor at Asbestos.com
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8 Cited Article Sources

  1. IREX Contracting Group. (2011). Our History. Retrieved from: http://www.irexcontracting.com/
  2. Rand. (2010). Asbestos Bankruptcy Trusts: An Overview of Trust Structure and Activity with Detailed Reports on the Largest Trusts. Retrieved from: http://www.rand.org/pubs/technical_reports/2010/RAND_TR872.pdf
  3. Crosby, James H. What Every Lawyer Needs To Know And Have To Work in Asbestos Litigation. Retrieved 2012, June 29 from Retrieved from: http://www.crosbylegal.com/
  4. US Environmental Protection. (2011 February 9). Asbestos/NESHAP Regulated Asbestos Containing Materials Guidance. Retrieved from: https://www.epa.gov/asbestos
  5. United States Bankruptcy Court. (2007 November 19). AC and S, Inc., Debtor. Retrieved from: http://www.acsbankruptcy.com/disclosure_pt1.pdf
  6. Vanderbilt Law Review. (2003). The Current State of the Asbestos Crisis. Vol. 56:1949. Retrieved from: http://law.vanderbilt.edu
  7. Koenig, S. (2001 December 7). Asbestos Verdict is $40 Million. The Baltimore Sun. Retrieved from: http://articles.baltimoresun.com/2001-12-07/business/0112070197_1_asbestos-walker-cancer
  8. Retropaper. Asbestos Literature. Retrieved 2012 July 9 from Retrieved from: http://www.retropaper.net/RETROASBESTOS.html
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