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In re KMART CORPORATION, et al., Chapter 11, Debtors.

AGREED ORDER OF RESOLUTION OF PERSONAL INJURY CLAIM OF FRANK KOSZAK (CLAIM NO. 29514)

SUSAN PIERSON SONDERBY, United States Bankruptcy Judge

This Agreed Order is entered into and submitted to the Court in accordance with, and in implementation of, the procedures approved by the Court in the Order Approving Procedures for (A) Liquidating and Settling Pre-Petition Personal Injury Claims Through Direct Negotiation and/or Alternative Dispute Resolution and/or (B) Modifying the Automatic Stay to Permit Certain Pre-Petition Litigation With Respect to Such Claims to Proceed entered on July 17, 2002, as modified by an order entered on August 29, 2002; and Frank Koszak (the "Claimant") and Kmart Corporation ("Kmart") and certain of its subsidiaries and affiliates (collectively, the "Debtors"), debtors and debtors-in-possession in the above-captioned cases, having agreed, as signified by the signatures of counsel on the Settlement Agreement, attached hereto as Exhibit 1, to a resolution of the disputed Personal Injury Claims as set forth in this Agreed Order; and the Court being otherwise sufficiently advised,

IT IS HEREBY ORDERED, ADJUDGED AND DECREED THAT:

1. The Claimant shall have an allowed, general pre-petition unsecured non-priority claim in the amount of $61,000.00 against Kmart Corporation in Case No, 02-B02474 with respect to claim number 29514.

2. The automatic stay imposed by 11 U.S.C. § 362(a) remains in effect with respect to any and all actions to collect or enforce the claim allowed in this Order and/or any other claims against the Debtors or the Debtors' estates or any affiliate of the Debtors.

EXHIBIT I SETTLEMENT AGREEMENT

This Settlement Agreement is entered into on February 19, 2003 by and between Kmart Corporation and its debtor affiliates (collectively, "Kmart") and Frank Koszak (the "Claimant") in accordance with, and in implementation of, the procedures approved by the United States Bankruptcy Court for the Northern District of Illinois, Eastern Division, in the Order Approving Procedures for (A) Liquidating and Settling Pre-Petition Personal Injury Claims Through Direct Negotiation and/or Alternative Dispute Resolution and/or (B) Modifying the Automatic Stay to Permit Certain Pre-Petition Litigation With Respect to Such Claims to Proceed (the "Order"),

1. Agreed Claim. In settlement of Claimants' claim against Kmart, evidenced by Proof of Claim number 29514, in the unspecified amount (the "Proof of Claim"), Claimant shall have an allowed, general, pre-petition, unsecured, non-priority claim in the amount of $61,000.00 against the Kmart Corporation in case number 02-B02474 (the "Allowed Claim").

2. Continuance of Stay. The automatic stay imposed by 11 U.S.C. § 362(a) remains in effect with respect to any and all actions to collect or enforce the Allowed Claim and/or any other claims against Kmart.

3. Limited Release of Kmart. Except with respect to the Allowed Claim, Claimant, for him/herself and his/her heirs, executors, administrators, successors, and assigns, does hereby and forever release, acquit, and discharge Kmart from any and all claims, actions, causes of actions, liens, demands, rights, damages, costs, loss of services, expenses and compensation whatsoever which Claimant now has or which may hereafter accrue on account of or in any way arising from the occurrences alleged in the Proof of Claim.

4. General Release of Third Parties. Claimant, for him/herself and his/her heirs, executors, administrators, successors, and assigns, does hereby and forever release, acquit, and discharge the Kmart Corporation, and all agents, affiliates, employees, independent contractors, and servants of Kmart from any and all claims, actions, causes of actions, liens, demands, rights, damages, costs, loss of services, expenses and compensation whatsoever which Claimant now has or which may hereafter accrue on account of, or in any way arising from or relating to, the Proof of Claim, the Allowed Claim, or otherwise, whether known or unknown, foreseen or unforeseen.

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IN RE KMART CORPORATION, (Bankr.N.D.Ill. 2003)
(Jun 3, 2003)