W.R. Grace & Co. (NYSE:GRA)

CAPS Rating: 4 out of 5

The Company is engaged in specialty chemicals and specialty materials businesses on a basis through its two operating segments, Grace Davison and Grace Performance Chemicals.


Player Avatar obiwankenobe1250 (86.48) Submitted: 8/24/2006 12:51:04 AM : Outperform Start Price: $9.19 GRA Score: +859.82

GRA - W.R. Grace, well, I cannot tell a lie. I like this one because of the name and because my x-father-in-law used to work for Dearborn Chemical, a subsid. But the reality is that all of the fundamentals are sound and they are global, able to weather the storm of the asbestos suits, I believe, and could be a 3-4 bagger by this time 4 years from now.

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Member Avatar SalvageMybucks (76.60) Submitted: 10/17/2006 5:35:52 PM
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I agree in the early 90's they made some poor choices, and obviously as party to the asbestos liability that didnt' help. The whole reason they were able to be with us today is their diversification. With those storms behind them, I believe they will perfom very well in terms of value compared to the Monsanto's of the world.

Member Avatar DaveMcC3300 (< 20) Submitted: 11/18/2006 2:42:52 PM
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The stock market is like a box of chocolates ....

Forrest Gump

Member Avatar VistaView (< 20) Submitted: 7/8/2007 3:51:21 PM
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I must take exception with anyone who bets on a company like W. R. Grace as if it were a Saturday handicap race and he superstitiously put good money on a horse with a lucky-sounding name.

Looking at the long term potential for more lawsuits to exsanguinate this monster, it will undoubtedly be permanently in most every court in the land for the decades to come. W. R. Grace has in no way "weathered the storm of asbestos suits!" For decades, Grace & Co. has been known as a pugnacious polluter and death merchant by many in the legal, business, scientific and environment-related industries. They have a well-earned reputation for mining, processing, hazardous waste disposing, manufacturing and mass-marketing all sorts of extremely hazardous materials and products and then trying to hide the fact of the hazards from those who are most likely to be injured, sicked or killed by use and exposure to them. Just ask the people of Woburn, Massachussetts or Libby, Montana who suffered so many leukemia and cancer deaths and how this "graceless" company handled their complaints. As the political pendulum swings back and forth, governmental regulators will also eventually become stronger and more punitive against Grace's lack of social and legal responsibilities. Bankrupcy and liquidation are the only long term outcome that I can see for them and their stock holders.

W. R. Grace & Company and all of its subsidiaries have not even reached the starting line when it comes to the lawsuits it will get in the future from its past mistakes! In the asbestos lawsuits, basically only direct personal injury lawsuits have already been filed and ejudicated to date. What remains in the future in asbestos litigation are the cases yet to be filed for post-latency period diseases experienced by final end-users (like building and home owners and governmental agencies) of their products, the beginning of which is just around the corner. This wave should be substantially larger in number and this will be paced by a different kind of asbestos lawsuit called "cost recovery" litigation. In this latter instance, owners of all buildings who have used asbestos-contaminated zonolite and other W. R. Grace products will have to spend an estimated 1 trillion U. S. dollars nationwide over a 25 year period to remove those products before the buildings can be renovated, sold or demolished. This estimate does not include legal costs for Grace to contest those actions. W. R. Grace's financial strength, which has been adequate to date in underwriting its legal defenses will not be able to manage that kind of financial hemorrhaging. So in the long term picture, this company is NOT my first choice as a good investment opportunity, no matter what the pundits claim now. They just have made too many long term mistakes in business judgment that are going to come back to haunt them.

Member Avatar blitzed28 (< 20) Submitted: 1/10/2008 3:38:25 PM
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WR Grace Director Sells Stock 1.2 mil shares sold just one month ago.


Member Avatar williamrob (< 20) Submitted: 4/13/2011 5:44:54 PM
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I believe WR Grace will do very well as they go into their future. Hopefully, mine too. I am a claimant who lost his father to mesothelioma from their Zonolite product in 2004. Thanks to my Father, he left the Zonolite bags behind after home renovation which implicates WR Grace. My attorneys are very happy. I have two claims against them. One for property damage which will amount to nothing basically and a personal injury for my Father's wrongful death. As a claimant, I can take part of my settlement in stock at a preferred price of $17 for one year only. I plan to take advantage of this offer. I feel that justice will be served this way. I plan to help others with the money. The company has plenty of it and the settlement trust plan requires the following assets to be put into it: $250 million in cash, warrants to acquire 10 million shares at a preferred price of $17 expiring one year from the effective date of the plan start, deferred payments of $110 million per year for five years beginning in 2019, and $100 million per year for ten years beginning in 2024; the deferred payments would be obligations of grace backed by 50.1% of grace's common stock top meet the requirements of section 524 (g). So you see, there is plenty of money.

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