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Bayer Will Pay $1.06 Billion to Settle 2,771 Baycol Lawsuits

Jul 13, 2004 | Bloomberg

Bayer AG, Germany's second-largest drug and chemical maker, has agreed to pay $1.06 billion to settle 2,771 lawsuits relating to its withdrawn cholesterol treatment Baycol.

The company has 8,048 cases pending, 515 fewer than a month ago, spokeswoman Annette Josten said. The company had paid out $1.04 billion to settle 2,710 cases as of June 14.

Bayer has said insurance will cover payments up to $1.2 billion, and has set aside an additional 300 million euros ($371 million). The company will continue to examine the need for further risk provision, Chief Executive Officer Werner Wenning said in April.

Bayer withdrew Baycol, a member of the statin class of medicines, in August 2001, after some patients developed muscle weakening and kidney failure. The drug was linked to as many as 100 deaths.

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