Replies to post #27673 on The Rising Influence of Rising Affluence

[santafe2]

Even for JNJ that's a damaging amount of money.

[DewDiligence]

Speaking of talc liabilities…a Delaware judge ruled today that MRK remains liable for talc lawsuits relating to Dr. Scholl’s foot powder, even though MRK sold its OTC- healthcare business to Bayer in 2014:

https://finance.yahoo.com/news/bayer-defeats-merck-lawsuit-over-215120183.html

MRK inherited Dr. Scholl’s in the 2009 takeover of Schering-Plough.

[DewDiligence]

JNJ asserts_it_has_settled_North_America talc claims_for_an NPV_of_$8.9B_spread_over_25_years:

https://www.sec.gov/ix?doc=/Archives/edgar/data/0000200406/000020040623000037/jnj-20230404.htm

On April 4, 2023, the Company announced that its wholly owned subsidiary LTL Management LLC (LTL) has re-filed for voluntary Chapter 11 bankruptcy protection to obtain approval of a reorganization plan that will efficiently resolve all current and future claims arising from cosmetic talc litigation against the Company and its affiliates in North America. The Company has agreed to contribute up to the present value of $8.9 billion over 25 years (nominal value approximately $12 billion) to resolve the North America talc claims…

JNJ’s press release (https://www.sec.gov/Archives/edgar/data/200406/000020040623000037/a44238-kexhibit991.htm ) says:

LTL also has secured commitments from over 60,000 current claimants to support a global resolution on these terms.

Notably, the PR doesn’t say how many other ex-North America claimants there are (or will be) and what is meant by the phrase, “these terms.”