Purdue Pharma in talks to settle DOJ opioid probes – WSJ

The Wall Street Journal reports that OxyContin maker Purdue Pharma LP is in discussions with the U.S. Justice Department to settle criminal and civil investigations over its role in the opioid epidemic.

Any agreement will likely include a monetary fine, potentially diluting compensation sought by state and local governments who claim that the company’s aggressive marketing of the painkiller was a significant contributor their respective opioid addiction problems.

The company and Sackler family owners have proposed a payment of $10B – 12B to settle all suits by states and local governments, to be implemented through a bankruptcy and paid out over a period of years. Some states, notably New York, Connecticut and Massachusetts, have balked at the amount, a sum they say is short of what’s needed.

Selected tickers: Teva Pharmaceutical Industries (TEVA +1.6%), Johnson & Johnson (JNJ -0.3%), Endo International (ENDP +39.8%), AmerisourceBergen (ABC +0.2%), McKesson (MCK +1.5%), Cardinal Health (CAH +2.2%)

https://seekingalpha.com/news/3497747-purdue-pharma-talks-settle-doj-opioid-probes-wsj