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1
*****
******
*
Economic and Property Damages Settlement
Medical Settlement
MDL NO. 2179
IN THE UNITED STATES DISTRICT COURTFOR THE EASTERN DISTRICT OF LOUISIANA
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Structure
United States District Court (Judge Barbier)
2
Deepwater Horizon Court SupervisedSettlement Program
Claims AdministratorPat Juneau
Key Vendors1. Garden City Group
2. Brown Greer3. PWC
4. Postlethwaite & Netterville
5. Administrator may add additional Vendors
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United States District Court Retains Jurisdiction
3
GarretsonResolution Group
Medical
Structure
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Structure
United States District Court (Judge Barbier)
Vo0
Subsistence
4
Economic Loss
BusinessIndividual
Seafood
Claims AdministratorOversees
Promotional Fund
Coastal
Property Loss
Realized
Sales
VesselPhysicalDamage
Physical Damage toPersonal Property
Wetlands
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General Principles
Class Membership
Damage Ca tegory Cla im (one or more)
Geog raphica l Loc a tion
Causation Standard
Zone (Map)
Doc umentation o f Ca usa tion Presumption
% of Loss
Customer Mix Spec ific Contrac t
Doc umenta tion of Loss
Compensation Ca lc ula tion
App lica tion o f Risk Transfer Premium (RTP)5
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Geographic al Loc ation Gulf Coast Areas
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Geographical Loc ation
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Determination of Class Membership
Geographical Loc ation
Gulf Coast AreasLived in, wo rked in, ac c ep ted wo rk in, owne d or lea sed p rop erty in, vesselhome p orted in or land ed catc h in
Spec ified Gulf WatersUS Waters of the Gulf of Mexic o a nd a ll ad jac ent bayou, estua ries, straits andother tida l and b rac kish w a ters within Gulf Co ast Area s, as spec ific anddesc ribed in Ex. 23 (Spec ified Gulf Waters)
Damage Category
1.3 - Ind ividua ls and Entities who meet the g eographic a l desc rip tions ofSec tions 1.1 or 1.2 above a re inc luded in the Ec ono mic Class ONLY IFtheir Cla ims meet the d esc rip tions of one o r more of the Da mageCa teg ories desc ribed below.
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Damage CategoriesIndividual and Entity
Economic Damag e Category[1.3.1.2.]
Sea food Com pensation Prog ramCategory [1.3.1.1.]
Property Damage Category
[1.3.1.7. , 1.3.1.6.] Subsistenc e Damage Ca tegory
[1.3.1.3.]
Vessel of Opportunity (VoO)Category [1.3.1.4.]
Vessel Physical Damage
Category [1.3.1.5.] Coastal Real Property Damage
Category [1.3.1.6.]
Wetlands Rea l Property DamageCategory [1.3.1.7.]
Real Property Sales Damage
Category [1.3.1.8.]
Individua ls/ Employees in
Otherwise Exc luded Industries
[1.3.1.9.] Individuals/ Employees in Support
Services to Oil & Gas Industry
[1.3.1.10]
Businesses/ Employers in Otherwise
Exc luded Industries [1.3.1.11.]
Businesses/ Employers in Support
Services to Oil & Gas Industry
[1.3.1.12.]
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Economic Damages Categories
Business
Self Employed Individual
Failed Business
Start-up Business
Failed Start-up Business
Multi-Fac ility Business
VoO Charter Payment
Subsistenc e Damage
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Property Categories
Real Property Cla ims
Real Prop erty Sales Damage Claims
Coa stal Rea l Property Damage Claims
Impa ired Use and Enjoyment
Physic a l Damages to Rea l or Persona l Property
Wetlands Real Property Damage Claims Impa ired Use and Enjoyment
Physic a l Damages to Rea l or Persona l Property
Vessel Physical Damage11
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Individual Claimants
Individual Claimants (an Ind ividua l may have multip le c la ims):
I. With Contem poraneous Tax Doc uments for 2010 and Benc hmarkPeriod
II. With Pay Period or Other Earnings Doc umenta tion fo r 2010 and
Benc hmark PeriodIII. With Earnings Doc umenta tion for 2010 but w ithout Benc hmark period
Earnings
IV. Without Earnings Doc umenta tion who Submit Individua l and EmployerSworn Written Sta tements to Esta b lish Earning s
V. Individual Periodic VendorsA. Up to $12,000
B. RTP of 1 May App ly
VI. Festiva l Vendors
A. Up to $12,000
B. RTP of 1 May App ly 12
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Standard Approach
Causation
Documentation Calculate Compensation
Apply RTP (if applic able)
Deduc t Cash Credits (if applic able)
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Zone Presumptions
Presump tion ZoneA
Presumption ZoneB
Zone C Zone D
Sea food IndustryPrimary
Gets Presumption Gets Presumption Gets Presumption Gets Presumption
Secondary Gets Presumption Gets Presumption Gets Presumption
Req uired to m eet
Ca usation Nexus
Tourism Industry Ge ts Presumption Ge ts PresumptionReq uired to mee tCa usation Nexus
Req uired to m ee tCa usation Nexus
Restaurants Gets Presumption Gets PresumptionReq uired to m eetCa usa tion Nexus
Req uired to mee tCa usa tion Nexus
Other Industry Gets PresumptionReq uired to m eetCa usation Nexus
Req uired to m eetCa usation Nexus
Req uired to m eetCa usation Nexus
Causation All PresumptionSeafood/ Tourism
PresumptionSea food
PresumptionProof
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Summary of Revenue Pattern Requirements for Causation Tests
Test
Zone A
Zone B
(Non-Tourism a nd
Non-Seafood)
Zone C
(Non-Seafood)
Zone D
Down
UpDown Up Down Up Down Up
V-Test N/ A -8.5% 5% -8.5% 5% -15% 10%
Modified V-Test* N/ A -5% 5% -5% 5% -10% 7%
Down Only test* N/ A -8.50% N/ A -8.50% N/ A -15% N/ A
*= For the Mod ified V-Test and the Down Only Test, additiona l requireme nts ap ply, a s de sc ribe d in Exhibits.
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Business Economic Loss Framework
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April 20, 2010
Benc hmark Yea rs Compensation Period
2007 2008 2009 2010
Benchmark Period same monthsclaimant selected for compensationperiod averaged if use < 2009
May Jun Jul Aug Sep Oct Nov Dec
Claimants Selects any 3 months or moreconsecutive
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Risk Transfer Premium
An enhancement fac tor multip lied by theCompensa tion Amount
Ac c ounts for risk of future injury, future oiling ,uncerta inty, etc .
Works as a multip lier
If someone ha s an RTP of 2.0, it is an e ffec tivemultip lier of 3.0
Example:Compensation Am ount = $100,000
RTP = $200,000
Tota l Compensa tion = $300,000
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Real Estate Sales Losses
In q ua lified Zones
Rea lized Sa le of Residential Property
Enter Contrac t a fte r April 21, 2010 and Close BeforeDec ember 31, 2010 (Limited Exc ep tion for Contrac tsEntered before April 20, 2010)
Compensa tion = Sa les Price x 12.5% (No RTP)
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Coastal Real Property Damage
Loss of Use and Enjoyment
Property Tax Va lue Based as Norma lized Ac ross Gulf
(Tax Appra ised Va lue x 1.18%)= Norma lized Tax
Value Norma lized Va lue x (30-45%)= Base Compensa tion
Percentage Rec overy based on Oiled / Non-Oiled
Minimum of $800-$1,100 on Base depend ing upon
Zone RTP = 2.50
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Wetlands Real Property Damage
$25,000 Per Ac re Primary Oiled - 50 foot d ep th
$11,000 Per Ac re Primary Non-Oiled - 30 foot dep th
$10,000 Per Ac re Buffer- 30 foot d ep th
$4,500 Per Ac re Buffer Non-Oiled - 30 foot d ep th Based on leng th o f linea r foo ta ge of SCAT and
NRDA assessment lines
Minimum of $4500 - $35,000
RTP = 2.50
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VoO Charter Payment
WORKING VoO PARTICIPANTSBoat Size Amount of Compensation
Less than 30 feet $41,600
30 feet-45 feet $49,400
46 feet-65 feet $62,400Greater than 65 feet $88,400
NON-WORKING VoO PARTICIPANTS
Boat Size Amount of Compensation
Less than 30 feet $4,800
30 feet-45 feet $5,700
46 feet-65 feet $7,200
Greater than 65 feet $10,200
Chart A
Chart B
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Subsistence Claims
Cla imants Eligible
Natura l persons who fish or hunt to ha rvest Sea foodor Ga me in a trad itiona l or c ustomary manner, to
susta in his or her basic persona l or family needs. Thisincludes:a)Commerc ia l Fishermen
b)Sea food Crew
c )Ind ividua ls hold ing a rec rea tiona l fishing lic ense, p rovidedthey sa tisfy other elements of the c la imant definition
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Subsistence Claims
Copy of fishing lic ense (unless exc lud ed from fishing lic enserequirement)
Ident ific a tion of Fishing Area
Claim form and Supporting Affidavit re number of p eop le
relying on Sea food and Ga me harvested by c la ima nt, spec iesand amounts of Sea food and Ga me relied upon
Ad ministra tor may request a n interview
Value of lost na tural resourc es (in average post-sp ill reta ilp ric es) Ca p of $10,000 per extended family
Ad ministra tion c an exc eed c ap a fter investiga tion
RTP = 2.25
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Seafood Compensation Program
Oyster Compensa tion Plan
Shrimp Compensa tion Plan
Blue Crab/ Other Seafood Compensa tion Plan
Finfish Compensa tion Plan Seafood Crew Compensa tion Plan
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Seafood Compensation ProgramGeneral Principles
$2.3 Billion Sea food Fund
$1.9 Billion Initia l Distribution p er Neutra l s Dete rmina tion of
Fa ir and Adeq uate Comp ensation
File C la im Now and Be Compensa ted Now
Exc ep tion for Sea food Crew Ca tegory 2 and 3
Bar Date 30 Days, Post Distric t Court Ap prova l
Sec ondary Pro-ra ta Distribution o f Ba lanc e Transition Payments
Quic k Pay Payments
Estima te of Cla ims Volumes
Prior GCCF Payment Offset
Opt - out Volume 26
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Category Compensable Claims
Shrimp Vessel Owner/Commerc ial Fisherman Vessel LesseeClaims
Boa t Cap tain Claims
Oyster Lea seholder Interest Cla ims Lea seholder Lost Inc ome Claims
Vessel Owner/Oyste r Harvester Vessel Lessee
Claims
Boa t Cap tain Claims
Finfish Vessel Owner/Commerc ial Fisherman Vessel LesseeClaims
Boa t Cap tain Claims
Ind ividua l Fishing Quota Holder Cla ims
Blue Crab/Other Vessel Owner/ Com merc ial Fisherma n
Vessel Lessee Claims Boa t Cap tain Claims
Seafood Crew
(excluding Captains) for
all Seafood Industries
Crew Claimants with Stand ard Doc umentation
Crew Claimants with Doc umentation Supp lied by
Employer
Crew Claimants with Doc umentation Supp lied by
Non-Employer
S f d A R
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Shrimp$264.89m110.58million (lbs.)
Oyster$65.66 m21.34million (lbs.)
Fin Fish$69.81m53.15million (lbs.)
Blue Crab$42.41m54.61million (lbs.)
Other$33.35m8.86 million (lbs.)
TOTAL: $476.12 (millions)
Seafood Average Revenue2007-2009 The Gulf Coast Area
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AVERAGE
2007 20092010 REDUCTION
Revenue
(millions)
Volume
(million)
Revenue
(millions)
Volume
(millions)
Revenue
(millions)
Volume
(millions)
Shrimp $264.89 174.40 $241.50 135.10 -8.8% -22.5
Oyster $65.66 21.34 $51.62 14.81 -21.4% -30.6
Blue Crab $42.41 54.61 $39.78 39.64 -6.2% -27.4
FIN FISH $69.81 53.15 $54.98 45.21 -21.2% -14.9
Other $33.35 8.86 $43.03 8.43 29.0% -4.8
$476.12 $430.91 % DropRevenue
-9.5%
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General Approach(Vessel Owner, Vessel Lessee, Boat Captains)
Claimant Spec ificHistorical Revenue
All or Part of 2009,2008, 2007
Ad just for Non-LaborVariab le Cost
Ac tual Rec ordsRange of 12% - 54%
Revenue Loss
Presumed 31
Share
Vessel Owner/ LesseeBoa t Capta in
Apply RTP
Cash Credit Deduc tions
Final Compensation
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Loss RTPCategory 1 Tax Return 37% 2.25
Pay Period Records
2009, 2008-2009,2007-2009
Category 2 Employer Statements 37% 2.25
Work Ava ilab ility
80 million Distribution Ava ilab le
Cap of $9,500 p re-RTPCategory 3 Cla im Sta tement $5,000 None
2 Sponsor Sta tements
$5000 Fixed Amount
50 million Distribution Ava ilab le
Seafood Crew Compensation Plan3 Categories
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Compensation Methods
Ac celerated Compensation Method
Vessel Size Model for Shrimp
Oyster Leasehold Ac res
Ind ividua l Fishing Quo ta / Sha res Fin Fish
Crab Traps
Revenue Model
Trip Tic kets/ Equiva lent
Tax Returns
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Seafood Compensation Program Projection
Species BenchmarkRevenue(2007 - 2009
Average, $ Mm) Owners Captains Crew
OysterLeaseholders/
Crap TrapOwners/Quota
Holders TotalFull ExpectedCompensation
Compensation
As A % OfIndustry Total
Revenue
Shrimp $264.89 $462 $335 $81 NA $877 $1,044 3.94
Oysters
Oyster LostIncome $65.66 $76 $68 $13 $60 $218 $259 3.94
OysterLeasehold
Interest $579 $579 $689 10.49
Crab & OtherBlue Crab $42.41 $55 $28 $10 $4 $97 $116 2.73
Other $33.35 $10 $5 $2 $1 $18 $22 0.64
Fin Fish $69.81 $50 $33 $10 $50 $144 $171 2.45
Total$476.12 $654 $470 $116 $694 $1,933 $2,300 4.83
Estimated InitialCompensation ($MM)
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Seafood Compensation Program
Species
Loss
Percentage
VesselOwner/
Lessee Captain Crew
VesselOwner/
Lease Captain Crew Leaseholder
Shrimp
75' (Freezer) 35% 45% 25% 30% 8.25 7.25 2.25
Oysters 40% 40% 40% 20% 8.75 7.75 2.25 8.75
Fin Fish 25% 45% 35% 20% 6.00 5.00 2.25
Blue Crab 35% 50% 30% 20% 6.00 5.00 2.25
All other 10% 50% 30% 20% 5.50 4.50 2.25
Stakeholder Split Risk Transfer Premium
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Shrimp Compensation Plan Expedited Model
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Shrimp Compensation Plan Expedited ModelSize
QualifyingRevenue
Owner-OperatorCompensation(including RPT)
VesselOwner/CommercialFisherman Vessel
Boat CaptainCompensation
Full Expedited Model:
75' (Freezer) $400,000 $871,500 $582,750 $288,750
Reduced Expedited Model:
75' (Freezer) $290,000 $684,750 $457,875 $226,875
Class Memb er:Eligibility: Hom e Port (Panha nd le - LA - Texas Line)Historic a l Revenue ((2007-2009)Boa t Ca p ta in - Based on Spec ific VesselReduced: Revenue Lower
Proof: Trip TicketsEquivalent Rec ords
Tax ReturnsVe ssel Size 36
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Individual Claimants
Individual Claimants(an Ind ividual may have multip leclaims):
I. With Contemporaneous TaxDoc uments for 2010 and
Benc hmark PeriodII. With Pay Period or Other
Earnings Doc umenta tion fo r 2010and Benc hmark Period
III. With Earnings Doc umenta tion for2010 but Without Benc hmarkPeriod Earnings
IV. Without Earnings Documentationwho Submit Individua l andEmployer Sworn WrittenSta tements to Esta b lish Earning s
Step 1:Ca lcula te Cla ima nt sLost Earnings
Step 2:App ly Risk Transfe rPrem ium (if app lic ab le)Step 3:
Determine Cla imantsCompensation
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Reserved Claims
Economic Damageby an Entity orInd ividua l Based on
Their Employment byan Exc lud ed Entity
Bodily Injury Claims
Shareholder Claims
Moratoria LossClaims
Menhaden Claims
Punitive DamagesAga inst Ha lliburton
and/ or Transoc ean Assigned Claims
Aga inst Ha lliburtonand/ or Transoc ean
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Excluded Industries And Entities
Sta te Munic ipa lities
Opt Outs
Court Emp loyees
BP (or othe r defend ants)Employees
Banking Ind ustry
Fund s, Trusts and Other
Financ ia l Vehic les Defense Contrac tors and
Their Sub -Contrac to rs andSuppliers
Gaming Industry
Insuranc e Ind ustry
Oil & Gas Ind ustry
Rea l Esta te Developersor Sellers
BP Brand ed Fue l
GCCF Fully Released
Claims
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Transition Status
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Payments Issued 6,432 $189,107,347.91
(a) 100% Final Payments 94 $12,203,944.44
(b) Interim Payments 1,112 $17,419,111.89
(c) Business Quick Payments 828 $20,504,354.63
(d) Individual Quick Payments 869 $4,320,302.49
(e) 60% Final Payments 3,246 $134,082,371.07
TRANSITION ACTIVITYFrom Marc h 8, 2012 through April 20, 2012
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Claims Appeal Process
Cla ims c an be rec onsidered and reviewed to assureac c urac y, transparenc y, independenc e andadherenc e by the Settlement Program to the terms ofthis agreement.
1 million dollarsThree Mem ber Appea l Panel
BP and Cla imant sub jec t to filing fee
Cla imant Preva ils on BP Ap pea l, award is inc reased by5%
Court has Inherent Jurisd ic tion
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Claims ProcessingUnder Settlement Program
Must file a Cla im Form
Doc uments and information with GCCF will beautomatic a lly transferred
All payments under Settlement Program a re finalpayments with a release
A Cla imant can file multip le c la ims Onc e a Cla ima nt rec eives a payment for a Cla im, Cla ima nt
has 6 months to file a ll remaining c la ims
Cla ims Program will exp ire by the la ter of: 6 months a fter the Effec tive Date (fina l judgment a nd a ll
appeals)
April 22, 2014
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Presentment Provisions
4.2.5:
Ec onomic Class Members with exp ired offers from theGCCF who Op t Out o f the Ec onomic Class sha ll bedeemed to have sa tisfied the p resentment req uirements
under the Oil Pollution Ac t o f 1990 ( OPA )
7.3.2:
Reg ard less of whether the Ag reement bec omes effec tive,Cla ims with a sum c erta in and some d ocumenta tion
and/ or other p roo f that a re submitted to the SettlementProgram sha ll be deemed to sa tisfy p resentment and a llrequirements of 33 U.S.C. 2713.
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Settlement Value
No Cap on the Settlement
Seafood Compensa tion Program $2.3 b illion
Common Benefit/ Class Counsel Fees and ExpensesPa id by BP on top of Payments to Class Members
Administration Expenses Pa id by BP
Notic e Program and Supp lementa l InformationProgram ($5million) Pa id by BP
Gulf Tourism and Sea food Promotiona l Fund
($57million) pa id by BP Settlement Guaranteed by Two Guarantors Afte r BP
Exp lora tion and Produc tion BP North Am eric a