Debt for Nature Swap for Headwater Forest

Resolution Number
Jane Sneed
Assigned to
General Concerns
Status Report

Correspondence has been exchanged to state the Academic Senate position.

Whereas in 1995 the Council on Economic Priorities listed Maxxam/Pacific Lumber as one of the nation's worst environmental offenders, and

Whereas Maxxam Corporation and Pacific Lumber have exchanged sustainable for unsustainable and environmentally devastating logging practices and have begun to clear cut the vast majority of its old growth redwood holdings, and

Whereas CALPERS and STRS are among the largest investors in Maxxam Corporation and Charles Hurwitz, the Maxxam CEO, has engaged in financial practices that threaten our pension funds,

Whereas billions of dollars in claims are pending against Maxxam Corporation by the U.S. government and private institutions and Maxxam Corporation and Charles Hurwitz's hostile takeover of Pacific Lumber in 1985 led to unsustainable logging practices and the funneling of $60 million from Pacific Lumber's pension fund, thus threatening workers' livelihoods,

Resolved that the Academic Senate direct the President to call upon Chairperson Emma Zink of STRS to influence the Maxxam Corporation to immediately halt salvage logging in all old growth groves and riparian zones, and to surrender Headwaters Forest to the Federal government in a debt for nature swap, and

Resolved that the Academic Senate direct the President to urge the Federal Deposit Insurance Corporation (FDIC) to pursue a settlement that includes an adequate debt for nature swap, and

Resolved that the Academic Senate urge STRS and CALPERS to divest their holdings of Maxxam stock, if the Maxxam corporation refuses to negotiate or is found to be negotiating in bad faith concerning a debt for nature swap.