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ARCADIAN PARTNERS, L.P. -- JUDGE FINDS THAT OSHA IMPROPERLY INCREASED PENALTY FOR CITATION ISSUED TO ARCADIAN CORPORATION

 MEMPHIS, Tenn., Jan. 10 /PRNewswire/ -- Arcadian Partners, L.P. (NYSE: UAN) reported today that a federal administrative law judge has ruled that the Occupational Safety and Health Administration (OSHA) improperly increased the penalty proposed in a citation issued to Arcadian Corporation, the general partner of Arcadian Partners, L.P.
 The OSHA citation arose from the failure of the urea plant at Arcadian's nitrogen fertilizer production facility in Lake Charles, La., on July 28, 1992. After its investigation of the incident, OSHA cited Arcadian for certain alleged violations of the Occupational Safety and Health Act and proposed penalties for the alleged violations totaling approximately $5.1 million.
 In the principal citation, OSHA alleged that Arcadian "willfully and egregiously" violated the general duty clause of the Occupational Safety and Health Act. The proposed penalty of $4,350,000 for this alleged violation was determined by multiplying the base penalty amount of $50,000 by a factor of 87, which is the number of Arcadian employees who OSHA maintains were affected by the alleged violation.
 In a motion for partial summary judgment in the proceeding relating to the OSHA citations, Arcadian argued that it was improper for OSHA to cite Arcadian for each employee exposed to the same alleged condition that gave rise to the single alleged violation of the Occupational Safety Health Act's general duty clause. The judge agreed with Arcadian and granted its motion despite OSHA's objections. As a result of the judge's decision, the proposed penalty for Arcadian's alleged violation of the general duty clause is effectively reduced by $4,300,000.
 OSHA has the right to appeal the judge's decision to the OSHA Review Commission and then into the federal court system. Arcadian currently does not know what action OSHA will take in response to the decision.
 Doug Campbell, president and chief executive officer of Arcadian Corporation, stated: "We are extremely pleased with this favorable decision. Arcadian operated the Lake Charles urea plant in accordance with industry standards, and we continue to believe emphatically that OSHA's claims are wrong. Regardless of how the case is ultimately resolved, we will continue to protect the safety and health of our employees."
 Arcadian Partners, L.P. is a leading United States producer and worldwide marketer of nitrogen-based fertilizers and related products. Arcadian Corporation is the general partner of Arcadian Partners, L.P.
 -0- 1/10/94
 /CONTACT: Deborah A. Howard, manager of Investor Relations, Arcadian Partners, 901-758-5366/
 (UAN)


CO: Arcadian Partners, L.P.; Occupational Safety and Health
 Administration; Arcadian Corporation ST: Louisiana, Tennessee IN: CHM SU:


MM -- CH010 -- 0687 01/10/94 16:03 EST
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Publication:PR Newswire
Date:Jan 10, 1994
Words:433
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