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Jbay76 (< 20)

Hecla Settles...Finally we can move on

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9

June 16, 2011 – Comments (2) | RELATED TICKERS: HL , SLV , SIL

So, yesterday it was released that Hecla consents to the state of Idaho, the Coeur d’Alene Tribe of Idaho, the EPA and other fed organizations.  The article is exhausting, and the financial aspects, or payments, that HL will have to make and the timetable for said payments can be found between pgs. 10-16, though the article is much longer than that.  And admittedly, I haven't read it all and don't know that I will.  

Throughout this court battle, what has grabbed my goat is the fact that HL is getting sued for something it did while that action was acceptable and legal.  Once changes to environmental law occured, they changed their methods, but get dinged for previously acceptable environmental policies.  

Nonetheless, the road will be rocky but HL will survive.  They have such a low cash cost, and are still on production track even in light of the Lucky Friday Mine collapse, so this bump in the road will pass as well.  

Enjoy the reading

2 Comments – Post Your Own

#1) On June 16, 2011 at 1:47 PM, rfaramir (29.26) wrote:

Wow, this reads like a pack of vultures descending on an elephant that died of obesity! Sickening.

 

Here's what I read them as paying to various parties:

within 30 days:

66,588,208

41,625,000

66.5% of Pre-Lodging Interest?

21,732,736

13,875,000

22% of Pre-Lodging Interest

17,000,000

8.5% of Pre-Lodging Interest

2,130,000

0.5% of Pre-Lodging Interest

4,000,000

2% of Pre-Lodging Interest

 

one year later:

18,750,000, plus Interest

6,250,000, plus Interest

 

2nd anniversary:

11,250,000 plus Interest

3,750,000, plus Interest

 

by 2014:

42,336,792

14,112,264

 

Insurance will be of limited help:

If Settling Companies receive any such insurance proceeds in excess of the aggregate amount of $3,100,000.00, Settling Companies shall pay to Plaintiffs 50% of the any amounts exceeding $3,100,000.00 

 

And changing laws after the fact and then making companies liable for previous 'violations' is unjust and un-American. Like mandating that gasoline additive MTBE (see http://www.wnd.com/?pageId=3114) be used, and then suing companies that used it.

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#2) On June 17, 2011 at 11:18 AM, Jbay76 (< 20) wrote:

Yeah, I got a similar impression, though vultures and elephants were a bit more exotic than my original thoughts. 

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