International Environmental Due Diligence at 70 Facilities in 60 Days

Over a two-month period, EnviroForensics conducted environmental due diligence for over 70 bottling and distribution facilities throughout the USA and the Caribbean. This mega-merger of Whitman Corporation and PepsiAmericas, Inc. resulted in the creation of the world’s second largest bottler of Pepsi-Cola products. 

In addition to conducting the due diligence work for the merger, EnviroForensics was intimately involved in the insurance defense and coverage work of the Whitman Corporation’s environmental and asbestos liabilities. Their liabilities were associated with the ownership of heavy manufacturing companies including rail and transportation equipment, aerospace parts manufacturing, metal finishing, and the assembly of pneumatic components. The consulting work included site investigation, remediation activities, and expert witness services on high profile insurance coverage litigation. The projects were further complicated because the Whitman Corporation sold off various product divisions and there was competing interest from the different companies for the shared historical insurance used to defend and indemnify companies against environmental and personal injury claims. 

BACKGROUND

Environmental due diligence was required to satisfy requirements necessary to assess and quantify environmental liabilities of the two merging companies. Additionally, EnviroForensics conducted site investigation and remedial actions for the Whitman Corporation’s liabilities associated with their historical industrial operations and to provide expert witness services for the on-going insurance coverage litigations. 

APPROACH

EnviroForensics responded to the demand to conduct due diligence work at 70+ bottling and distribution facilities in North America and the Caribbean in less than 60 days by mobilizing its team to canvass the country and meet the tight timeline required by the merging parties. 

OUTCOME

The companies successfully merged and enlisted EnviroForensics to conduct investigation and response activities required to mitigate long-tail liabilities and provided expert witness work to effectuate the coverage of insurance claims, which culminated in a global settlement of PepsiAmericas historical insurance assets. 

Revitalizing the Near East Side of Downtown Indianapolis

The Englewood Community Development Corporation (ECDC) sought to revitalize the Near East Side of downtown Indianapolis. One of the largest and most recognizable pieces of property in the Englewood community is the former P.R. Mallory Factory. From 1929 through the 1990s, P.R. Mallory manufactured batteries and electronic components at the Site. As a result of these historical operations, the soil and groundwater were contaminated at the property, which posed a potential exposure risk to future tenants and visitors. Special consideration was needed to ensure contaminated media was effectively managed during redevelopment and future property use. 

BACKGROUND

The site was composed of multiple adjacent parcels with contaminated soil, groundwater, and vapor as a result of historical onsite and nearby manufacturing operations. The facilities were no longer in use and attention was necessary to address environmental issues prior to planned reuse.

APPROACH 

EnviroForensics reviewed historical documentation to satisfy property transfer due diligence requirements, and managed contaminated soil and materials while minimizing project costs and protecting future occupants.

EnviroForensics developed a soil management plan that allowed soil to be managed as non-hazardous waste. Working side-by-side with the construction and excavation contractors, EnviroForensics provided oversight during soil removal to ensure the waste stream was adequately characterized and provided environmental guidance when unexpected features (tanks, piping, etc.) were encountered. EnviroForensics collected soil samples to monitor progress and worked tirelessly to ensure that the environmental aspect of redevelopment did not serve as a hindrance to the overall project timeline and goals.  

We submitted requests for comfort letters to the Indiana Brownfields Program, and worked with regulators and the local utility company to identify cost-effective strategies for waste management. EnviroForensics provided technical oversight and direction for vapor mitigation system installation and associated monitoring/sampling to ensure the potential exposure pathway was addressed.

OUTCOME

EnviroForensics successfully assisted with ECDC’s $38M redevelopment by mitigating exposure risks, identifying efficiencies in managing waste, and overseeing soil removal during site activities.  Through effective planning and coordination with state regulators, the project team efficiently sampled and disposed of over 4,000 tons of soil containing low levels of chlorinated solvents at a non-hazardous waste landfill, thereby eliminating the generation of hazardous waste.  This strategy for contaminated soil removal allowed the ECDC to minimize disposal and management costs while protecting the environment and community’s health and well-being.  The property is now the new home of Purdue Polytechnic High School and the Paramount Englewood Middle School where hundreds of students, faculty, and staff members occupy both buildings and are protected from exposure to residual environmental impacts.