- July 19, 2021
- Posted by: Stratford Team
- Category: Business
Fox Business Briefs: Johnson & Johnson says it will stop selling talc-based baby powder in the United States.
Retailer Johnson & Johnson is reportedly considering spinning off liabilities from its Baby Powder unit due to ongoing litigation, with plans to seek bankruptcy protection for that new business.
The plan would allow the company to potentially pay out lower settlements through the smaller company, Reuters reported on Sunday, citing seven people familiar with the discussions.
Those sources told the publication that the company could use a merger law in Texas that allows companies to split into at least two entities, known as a two-step bankruptcy.
Johnson & Johnson has not made a decision on whether it will pursue the bankruptcy plan, Reuters added.
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A spokesperson for Johnson & Johnson did not immediately return FOX Business’ request for…