PURSUANT TO A STIPULATION ENTERED INTO BETWEEN THE UNITED STATES AND ALLIED SIGNAL, INC. U.S. EPA ADN ALLIED ENTERED INTO RD/RA CONSENT DECREE NEGOTIATIONS FOR THE PURPOSE OF RESOLVING HOW ALLIED WOULD IMPLEMENT THE REMEDY SELECTED BY A RECORD OF DECISION DATED DECEMBER 1994. IN THE STIPULATION ALLIED HAD ALSO AGREED TO PAY EPA COSTS ASSOCIATED WITH SITE RESPONSE ACTIONS. IN THE CONSENT DECREE, ALLIED AGREED TO PAY $950,000 OF EPA'S COSTS (APPROX. 85% OF BILLED COSTS) PLUS IMPLEMENT THE REMEDIAL ACTION SELECTED BY EPA. ALLIED ALSO AGREED TO PAY FUTURE EPA RESPONSE COSTS ON AN ANNUAL BASIS.