Identify the Problem.

RIPE MARKETS FOR RISK TRANSFER?
Risk Management Solutions

• M&A Deals (Buyer or Seller)

  • Unable to Assume Environmental Risk

• Major Corporations

  • Shedding Unwanted Property, Buildings & Assets

• Balance Sheet Management

  • Elimination of Obsolete Dormant Assets

• Sale / Leaseback Transactions

  • Eliminate Risk and Shift Revenues

• Bankruptcy

  • Shifting Un-Managed Liabilities

• Raising Capital for Note Holders

Assess the Risk.

KEY ELEMENTS OF A RISK TRANSFER TRANSACTION
Risk Management Solutions

• Full Transfer of Environmental Liability Utilizing:

  • Perpetual Indemnity

  • Robust Collateral

• SWW predicts the risk & collateralizes the predictions

  • Minimizing intrusive due diligence

  • Underwriting a PLL Policy to protect against unknown

• Transaction can be for

  • Environmental Liability Only;

  • Include A Sale of The Impacted Land; and

  • Address Ongoing Operation Requirements

• Working with local stakeholders

  • Address Local Needs and Requirements

Transfer the Risk.

RISK TRANSFER
Engaging – How it Works

• We develop a binding contract, communicate with regulators, with respect to historic obligations

• We typically form a special purpose entity to assume liability for, and perform, all remedial work as required by law for assumed obligations.

• We execute applicable permits and orders required by regulators to complete remediation for existing conditions located on on-site.

RISK TRANSFER - Insurance Indemnity PLL

• In a “Sale of Land” context, the indemnity covers response to known & unknown conditions located on or emanating from the site at time of closing

• Future operations are also covered through policy

• Indemnity is collateralized at 2 to 3 times the estimated remediation cost with multiple overlapping financial tools

• Tort claims are typically not included