SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES ACT OF 1934
Date of Report (Date of earliest event reported) August 30, 2000
METALCLAD CORPORATION
(Exact name of registrant as specified in its charter)
Delaware 0-2000
(State or Other Jurisdiction) (Commission File Number)
95-2368719
(I.R.S. Employer Identification No.)
2 Corporate Plaza, Suite 125
Newport Beach, CA 92660
(Address of Principal Executive Office) (Zip Code)
Registrant's telephone number, including area code (949) 719-1234
Item 2. Disposition of Assets
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In the Company's previous public filings, it disclosed an ongoing
arbitration with the United Mexican States under the North American Free
Trade Agreement ("NAFTA").
On August 30, 2000 the Tribunal hearing the arbitration case issued its
ruling. In summary, the ruling agreed with the company's position that the
acts of the Mexican government, in effect, expropriated the Company's
landfill facility in the State of San Luis Potosi, Mexico. The Tribunal
awarded $16,685,000 as compensation for the property. Upon payment, the
Company will pass title to the property to the Federal government of Mexico.
Payment to the Company is required to be made within 45 days of the
issuance of the decision. Following such period, interest shall accrue at
the rate of 6% per annum, compounded monthly, on any unpaid balance.
If Mexico chooses to not pay the award, the Company may seek
enforcement under several well-established treaty conventions after 90 days
from the issuance of the award, provided neither party has sought to revise,
set aside or annul the award. Both parties have such rights which may be
exercised within the 90-day period. Recent comments from Mexican
officials indicate a likelyhood that Mexico will exercise their right. At this
time the company cannot predict the timeframe for collection, but has
prepared the accompanying pro-forma financial statements as if the award is
final.
Item 7. Financial Statements and Pro forma Financial Information
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Listed below are the financial statements, pro forma financial
information and exhibits filed as a part of this report.
Unaudited Pro forma Condensed Consolidated Balance Sheets as
of June 30, 2000.
Unaudited Pro forma Condensed Consolidated Statement of
Operations for the Six Months Ended June 30, 2000.
Notes to Unaudited Pro forma Condensed Consolidated Financial
Statements.
The pro forma data is presented for informational purposes and may
not be indicative of the future results of operations and financial
position of the Company or what the results of operations and financial
position of the Company would have been had the disposition occurred
immediately prior to the periods indicated.
These pro forma condensed consolidated financial statements should be
read in conjunction with the historical consolidated financial statements
and the related notes thereto of Metalclad Corporation, which are hereby
incorporated by reference.
Item 7. Exhibits
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Award Decision of the Arbitral Tribunal, International Centre
For Settlement of Investment Disputes Case No. ARB(AF)/97/1,
constituted under Chapter Eleven of the North American Free
Trade Agreement, dispatched to the parties August 30, 2000.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
METALCLAD CORPORATION
September 1, 2000 By: /s/Anthony C. Dabbene
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Anthony C. Dabbene
Chief Financial Officer
