Value Microcaps Table Pounders

[littlefish]

ENTX- save KiK the work. Here's the part in 10K. Notice it says their insurance to date has covered for the suits brought against them. Hopefully it continues that way (my stars to highlight the area):


Prior to 1975, we were engaged in the sale and installation of asbestos-related insulation materials, which has resulted in numerous claims of personal injury allegedly related to asbestos exposure. Many of these claims are now being brought by the children and close relatives of persons who have died, allegedly as a result of the direct or indirect exposure to asbestos. ***To date all of our asbestos-related injury claims have been paid and defended by our insurance carriers***.


Based on the general trend of reducing asbestos-related injury claims made against the Company over the past seven years, we project that 738 asbestos-related injury claims will be made against the Company in the future, in addition to the 222 claims existing as of December 31, 2007, totaling 960 claims. Multiplying the average indemnity paid per resolved claim over the past seven years of $19,700, by 960, we project the probable future indemnity to be paid on those claims to be equal to approximately $19 million. In addition, multiplying an estimated cost (which cost is included within the limits of our insurance coverage) of defense per resolved claim of approximately $13,500 by 960, we project the probable future defense costs to equal approximately $13 million. See Item 3 - “Legal Proceedings - Asbestos-related Claims.”

Then you can read item 3 on the 10K.

Here's some other stuff (item 14 is an area to read):

We have determined that it is probable that we have sufficient insurance to provide coverage for both current and future projected asbestos-related injury claims. This determination assumes that the current trend of reducing asbestos-related injury claims will continue and that the average indemnity and direct legal costs of each resolved claim will not materially increase. The determination also assumes that the insurance companies live up to what we believe is their obligation to continue to cover our exposure with regards to these claims. Several affiliated insurance companies have brought a declaratory relief action against our subsidiary, Metalclad, as well as a number of other insurers, to resolve certain coverage issues.



There's been a general downtrend in the case #s with time and the company looks cheap but I personally am not putting $ into something with asbestos lawsuit exposure.