Johnson & Johnson said it has agreed to pay $8.9 billion to settle claims that the talc in its popular baby powder causes cancer.
The deal, which Johnson & Johnson proposed in a statement On Tuesday, claimants would be paid over the course of 25 years through a subsidiary, which filed for Chapter 11 bankruptcy to set up a mechanism for payments.
Johnson & Johnson said the settlement and bankruptcy filing do not mean it “has changed its long-standing position that its talcum powder products are safe.” The company has long denied claims that its products containing talc, a mineral used to absorb moisture, cause cancer.
According to the Food and Drug Administration, research has shown “a possible association between the use of talc-containing powders in the genital area and the incidence of ovarian cancer,” but studies have not “conclusively demonstrated such an association.” . fda says there is a “potential for asbestos contamination of talc,” but Johnson & Johnson has said its products do not contain asbestos, a known carcinogen.
