Makers of mobile homes for FEMA near settlement

NEW ORLEANS (AP) — Companies that manufactured mobile homes for FEMA after Hurricane Katrina are nearing a settlement to resolve thousands of claims that storm victims were exposed to potentially dangerous fumes.

A proposed class-action settlement involving about two dozen mobile home makers and their subsidiaries is expected to be filed Friday. A court filing Tuesday says lawyers for companies and plaintiffs are “very close” to finalizing an agreement, which must be approved by a federal judge.

It could benefit several thousand families who claim they were exposed to dangerous levels of formaldehyde.

The settlement doesn’t involve claims for residents who lived in FEMA travel trailers, which are prone to higher formaldehyde levels.