Matson to Pay USD 15.4 Million for Hawaii Molasses Spill

zoom U.S. shipping company Matson, Inc. has agreed to pay up to USD 15.4 million as compensation for the 2013 molasses spill in Honolulu Harbour. Matson will pay USD 5.9 million to Hawaii to resolve all civil, criminal and administrative claims that the state could have had arising from the discharge of molasses. The proceeds will be used to compensate for damaged coral and lost fish, as well as the states response and other costs. As part of the settlement, Matson says it has terminated its molasses operations in Honolulu and has committed to remove the molasses risers and tanks at Sand Island terminal at an estimated cost of between USD 5.5 million and USD 9.5 million bringing the total cost to Matson of between USD 11.4 million and USD 15.4 million. Matson will record an USD 11.4 million charge in its second quarter results which will be released on August 4, 2015. The company is also releasing a report detailing its investigation of the incident, the resulting impact to aquatic life and the settlement of legal claims.