3M settles 'Forever Chemicals' lawsuit for $10.3 billion

Key takeaways

  • 3M agreed to pay $10.3 billion to settle “chemicals forever”; legal action.
  • The company will make payment over a period of 13 years.
  • The agreement is similar to that previously reached by Dupont, Chemours and Corteva.

3M (MMM) a announced that it had agreed to pay $10.3 billion to settle sweeping class action lawsuits over so-called “eternal chemicals.”

The conglomerate indicated that the agreement with public water suppliers provides for the remediation of the effects of perfluorinated and polyfluorinated substances (PFAS) in drinking water. The payment will be spread over a period of 13 years.

3M has been manufacturing PFAS since the 1950s, and is one of the leading chemical manufacturers. CEO Mike Roman called the settlement “an important step forward for 3M,” building on his actions, including the announcement that the company would exit all PFAS production by the end of 2025.

3M said it expects the deal to result in a pretax charge of approximately $10.3 billion in the current quarter, and to reflect it as an adjustment in the current quarter. #39;obtaining results, adjusted for special items.

Earlier this month , DuPont (DD) and spin-off companies Chemours (CC) and Corteva (CTVA) have reached a $1,185 settlement for PFAS pollution. 

3M shares initially rose Friday morning after the news, but gave up early gains and was down 0.7% at 11:30 a.m. EST.

investopedia.com

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