Johnson & Johnson stock was rising in after-hours trading.
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Johnson & Johnson
stock is rising in after-hours trading after the company announced a nearly $9 billion settlement over claims that its talcum powder causes cancer.
In a press release, Johnson & Johnson said that its subsidiary, LTL Management, would refile for bankruptcy protection and be funded with $8.9 billion over 25 years to cover talc liabilities. “Importantly, neither LTL’s original filing nor this re-filing is an admission of wrongdoing, nor an indication that the Company has changed its longstanding position that its talcum powder products are safe,” the press release said.
Johnson & Johnson has a market value $408 billion as of Tuesday’s close, which may explain why the stock was up 3%, to $163.18, in after-hours trading.
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