Fsc Paper Corporation, a Delaware Corporation v. Sun Insurance Company of New York, a New York Corporation

CUDAHY, Circuit Judge.

This diversity case requires us to construe an insurance contract under Illinois law. FSC Paper Corporation (“FSC”) sustained an insured fire loss of 12,827 tons of waste newspaper known as “Special Pack.” Sun Insurance Company of New York (“Sun Insurance”) admitted that it insured against the loss and that it was liable to FSC for the “replacement cost [of the burned Special Pack] at time and place of loss.” Brief for Appellee at 2. The parties disagree, however, on the appropriate method of computing the replacement cost. Because we find the method of computation of…