Known for its Scotch and Post-it brands, the 3M conglomerate also makes protective gear for people, including earplugs. Which will cost him dearly. The group has just concluded an agreement with the American army which will result in the payment of 6 billion dollars, in the form of cash for 5 billion and in the form of shares for 1 billion.
The reason: the conglomerate allegedly supplied defective earplugs to American soldiers who insufficiently protected them, sometimes causing significant damage to their hearing. According to the US military, the group knew that its products could not fully perform their function and deliberately chose not to prevent it.
The sum appears colossal. However, 3M is doing quite well. Analysts had indeed expected an even more costly agreement. Bloomberg estimated it at $9.5 billion. Barclays at 8 billion. And the fact of having found common ground with American justice allows the American group to affirm that it is not an admission of guilt. Which is correct.
Above all, it removes the prospect of a series of long-term lawsuits that could have been unfavorable to 3M. Several have already stood. The group lost ten out of sixteen, which led it to pay 250 million dollars to a dozen plaintiffs. The US military estimates the number of soldiers who fell victim to these defective earplugs at 300,000.
3M seems accustomed to legal disputes. In June, the giant agreed to pay 10.3 billion dollars to participate in the cleaning of American drinking water of PFAS, these pollutants considered “eternal” that it used in its products.
