FOR IMMEDIATE RELEASE ENR

WEDNESDAY, MARCH 11, 1998

AFTER TWO DAYS AT TRIAL IN BATON ROUGE, BORDEN AGREES TO

SETTLE FEDERAL POLLUTION CHARGES

WASHINGTON, D.C. -- Borden Chemical and Plastics, part of the

Borden family of corporations, today agreed to a more than $7 million
dollar settlement to resolve allegations it ignored the law, and
contaminated soil and groundwater with hazardous wastes at its plant in
Geismar, Louisiana, just outside Baton Rouge. The settlement includes
a $3.6 million civil penalty, which is the largest ever in Louisiana for
federal hazardous waste violations.

Borden's decision to settle the case came after two days of trial
in U.S. District Court in Baton Rouge. Key terms of the settlement were
entered into the court record today, but the details of the settlement
will be filed within the next 30 days. Under the settlement made public
today, Borden will pay a $3.6 million penalty and spend several million
dollars to clean up and prevent the spread of contamination to a nearby
drinking water aquifer.

The company also will begin abiding by a federal law that regulates
the handling and storage of hazardous wastes. The Justice Department
had alleged that the company believed it was not subject to this law and
chose to ignore the requirement that it obtain a permit to safely handle
hazardous waste.

Under today's settlement, Borden also will spend $3.4 million on

Supplemental Environmental Projects in the area. These projects include
providing $400,000 to fund community-based programs in Ascension Parish,
where the plant is located, to help the community respond to
environmental emergencies and make decisions about cleanups.

"No one is above the law, and with this settlement Borden will be
abiding by the same rules every other company has to follow," said Lois
Schiffer, Assistant Attorney General in charge of the Justice
Department's Environment and Natural Resources Division. "I am pleased
that Borden decided to settle this case because now the contamination
will get cleaned up faster, and the people of Ascension Parish can put
this behind them sooner."

United States Attorney L.J. Hymel said that "this lawsuit and this
settlement represent an ongoing commitment by this office and the
Department of Justice to protect the environment of the State of
Louisiana. The bottom line is that polluters know that they will not be
able to cut corners at the expense of the State's resources and the
safety of the public."

"Companies should know that it's smarter and cheaper to obey the
law and prevent pollution in the first place, rather than pay fines and
cleanup costs that result from illegal mismanagement of wastes," said
Steven Herman, EPA's Assistant Administrator for Enforcement and
Compliance Assurance.
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