Bayer Proposes $7.25 Billion Settlement to End Roundup Lawsuits

The German conglomerate Bayer has presented a groundbreaking settlement proposal intended to permanently close the chapter on costly legal battles in the United States. Its subsidiary Monsanto has committed to paying up to $7.25 billion over the next 21 years. These funds are to go to individuals who claim they developed non-Hodgkin's lymphoma due to exposure to the popular weedkiller Roundup. Although Bayer consistently maintains that the product is safe and that glyphosate is not carcinogenic, the scale of claims involving approximately 65,000 people forced the board to seek a systemic solution. Investors on the Frankfurt stock exchange initially reacted enthusiastically, driving the share price up by 8%, only to succumb to pessimism the next day, leading to a drop of over 9%. Bayer's troubles began in 2018 with the acquisition of the American company Monsanto for $63 billion. This transaction is considered by many experts to be one of the worst business decisions in German history due to the immediate avalanche of lawsuits concerning the safety of the acquired company's products.The strategy of CEO Bill Anderson involves not only a financial settlement but also political support. As industry sources report, President Donald Trump signed an executive order incorporating glyphosate production and phosphate mining into the Defense Production Act. This means the substance has been recognized as essential for American food security. This step is intended to protect supply chains and strengthen the company's market position in the face of an unfavorable legal environment. However, experts note that the proposed class action settlement still requires court approval, which has been problematic in the past. 7.25 mld — dollars will be the total compensation pool The situation remains dynamic, as the U.S. Supreme Court is preparing to consider a key case concerning the authority of the EPA Environmental Protection Agency in labeling products with cancer warnings. If the court rules that federal law supersedes state law regarding product labeling, Bayer could gain a powerful tool for dismissing future claims. Nevertheless, the current settlement proposal is seen as an attempt by the conglomerate to regain financial stability, having already spent over $10 billion on resolving legal disputes since acquiring Monsanto. „Our goal is to provide strategic clarity and end the uncertainty that has weighed on our company's valuation and its future development for years.” — Bill Anderson

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Media focus on the harmfulness of glyphosate and the prolonged suffering of victims, viewing the settlement as belated justice and corporate evasion. | The importance of U.S. food security and the role of Bayer and glyphosate in maintaining low agricultural product prices is emphasized.