Dow Corning Settlement Proposal Denounced by
Physicians
CLEVELAND, OH--Aug. 26, 1997--The proposed settlement in the
amended plan of reorganization filed yesterday by Dow Corning
Corporation drew disappointment from the Official Committee of
Physician Creditors of Dow Corning
Corporation.
H. Jeffrey Schwartz, attorney for the Official Physicians
Committee appointed by the U.S. Trustee in the bankruptcy case
for Dow Corning, stated, "We are disappointed that the
proposed settlement fails to recognize the substantial interest
and concern of the physicians affected by the controversy over
silicon filled breast implants." Schwartz is a partner and
chairman of Benesch, Friedlander, Coplan & Aronoff's Business
Reorganization Practice Group and represents the interests of the
Official Physicians Committee constituency of more than 2,000
physicians worldwide. The Official Physicians Committee was
initially formed in July 1996.
On behalf of the Official Physicians Committee, the following
requirements were communicated previously to Dow Corning and are
considered critical in negotiating any consensual plan of
reorganization:
-- In recognition that patient health concerns are paramount,
the Official Physicians Committee seeks provision for ongoing
independent medical supervision and participation in the trust
established to supervise resolution of implant damage claims;
-- For relief from the ongoing burden incurred by physicians
also targeted as defendants in over 5,000 breast implant damage
actions, the Official Physicians Committee seeks assurance of the
discharge, release and indemnification of physicians and their
insurers with respect to silicon breast implant claims; and
-- To recognize that physicians, along with breast implant
patients, are innocent victims of the complications now
acknowledged by Dow Corning as being associated with silicon
filled breast implants it manufactured and deceptively marketed
to physicians, the Official Physicians Committee seeks assurance
of compensation to physicians for the economic damages they
sustained to their medical practices as a result of the manner in
which Dow Corning tested and marketed the implants.
CONTACT: Benesch, Friedlander, Coplan & Aronoff LLP H.
Jeffrey Schwartz, 216/363-4635