OTHER NEWS - April 23, 1996

Home Siding Agreement Approved: A Portland, Ore., federal judge accepted the settlement of a class-action lawsuit over allegedly defective Louisiana-Pacific Corp. house siding installed on an estimated 800,000 U.S. homes. After initially chastising lawyers for a proposal he said inadequately compensated homeowners, U.S. District Judge Robert Jones approved a modified deal that, he said, “realistically, nobody’s happy with.” Louisiana-Pacific agreed to pay $275 million and has an option to add $50 million to the fund. The siding, which resembles cedar but is made from wood chips and resin covered with resin-soaked paper, can soak up moisture, resulting in swelling and cracking. Louisiana-Pacific maintains that up to 90% of the problems with its Inner-Seal siding can be traced to improper installation and maintenance.