Silverstein Rejects as False, Allegations That Proceedings Against Willis Are Contemplated

September 23, 2002

A spokesman for Larry Silverstein, issued a response to a recent flurry of reportedly erroneous allegations that Silverstein and Silverstein Properties may possibly file errors and omissions claims against London insurance broker Willis Group Holdings involving its placement of property coverage on the Twin Towers.

Howard Rubenstein, commented that, “These erroneous reports are just the latest in a series of attempts by the insurers to distract from the real issues in the case. Mr. Silverstein’s counsel has thoroughly reviewed the documentation related to the placement. Mr. Silverstein’s counsel has also been present at all depositions and has questioned all Willis employees relevant to the placement. Mr. Silverstein and his organization have never contemplated any such claim against Willis and have no intention of doing so in the future.

“To the contrary, Mr. Silverstein believes that Willis did a truly remarkable job in procuring the highest amount of property insurance ever obtained for a single multi building real estate complex—over $3.5 billion per occurrence of coverage—under extreme time pressures and at the same time satisfied the requirement of Mr. Silverstein’s lenders that AA-rated or better carriers be used.”

Currently, more than 20 insurance companies are locked in a legal dispute with Silverstein Properties, the master leaseholder on the Twin Towers.

A trial is slated for November.

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