Document xYzZO66wJrmNwxYL4xzN6mr0
A ROLLINS BURDICK HUNTER CORR
SELF-INSURERS SERVICE, INC. 111 EAST WACKER DRIVE CHICAGO. ILLINOIS 60601 312 * 819 . 5100 FACSIMILE 312 * 819 5123
April 5, 1989
APR i 1 1389
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Mr. Tony Colangelo The Sherwin-Williams Company 101 Prospect Avenue, N.W. Cleveland, Ohio 44115
RE:
. v. Sherwin-Williams
File #: L999335-80-1
Dear Mr. Colangelo:
I am writing in reference to the above matter.
Please find enclosed the annuity guote of March 29, 1989 from
Galaher Settlements indicating the cost of an annuity, paying
the fatality benefits owed to her for life only,
would be $71,107. Also enclosed is Mr. Mueller's correspondence
of March 29, 1989 indicating the total accrued amount, including
interest, at this time if $71,573.94. I have checked back with
Galaher Settlements and they have indicated that an upfront
payment of that amount would merely increase the cost of the
annuity by that specific amount. Therefore, the cost of the
annuity paying '
fatality benefits for life only, plus
the $71,573.94 upfront payment for the accrued benefits, would be
$142,680.94.
Also, Research Service Bureau, the firm that conducted the
activity check on
has informed me that she has not
-- remarried and is having no health problems. It is likely,
therefore, that we could be paying fatality benefits for this
H lady's life expectancy of 18.1 years. You will note that, on the
U annuity proposal, to pay the fatality benefits straight for her
^ life expectancy would give a yield of $163,615 total, however,
^ the actual cost of the annuity is only $71,107.
Due to the fact that our legal options have been exhausted and
that chances are fairly good that
will live out her
life expectancy, and chances are not good that she will remarry,
it is mv recommendation that we purchase the annuity to pay Mrs.
fatality benefits.
N40333
0007-SWP-005801356 CONFIDENTIAL