- A U.S. judge rejected Bayer AG’s BAYRY plan to try and limit the cost of future class action claims that its Roundup weedkiller causes cancer, saying that parts of the plan were “clearly unreasonable,” reports Reuters.
- The company called into question the future sale of glyphosate-based products to gardeners in the U.S. and said it would review plans to settle around 30,000 legal claims.
- “We will continue to assess financial risks as we move forward,” finance chief Wolfgang Nickl said in an analyst call when asked if the estimate of the potential financial burden had been revised.
- Bayer will be spared payouts related to future cases it had outlined in its plan this year and next but will continue to set aside $2 billion for the risk of further claims, reflecting its view that there were no fundamental changes in the outlook.
- About 125,000 people have alleged Roundup caused their non-Hodgkin lymphoma, and cases involving 96,000 of those have been resolved with a $9.6 billion settlement which also included provisions for the remaining claims.
- Three cases have gone to trial, and in each one, juries awarded tens of millions of dollars in damages for plaintiffs.
- “We are determined to resolve the Roundup litigation and minimize the risk to our company from the existing and potential future lawsuits,” said Bayer Chief Executive Werner Baumann.
- “We remain open to settlement negotiations on the remaining lawsuits, as long as the terms are reasonable. However, we will review this approach in the future,” he added.
- Price Action: BAYRY shares are down 2.44% at $16 during the market session on the last check Thursday.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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