The opioid epidemic has dominated the 24-hour news cycle for the past four years. Drug overdose deaths have surpassed car accidents pursuant to accidental deaths. Johnson & Johnson (JNJ), Cardinal Health (CAH), AmerisourceBergern (ABC) and McKesson (MCK) struck a $26 billion opioid deal this past summer. Apparently, enough states and municipalities have agreed to the settlement to make it official. However, about attorneys general from seven states – Alabama, Georgia, New Mexico, Oklahoma, West Virginia, Washington and Nevada – because they thought their share of the settlement was not enough to cover their states’ cost of the epidemic.
Alabama AG Steve Marshall must have had a sudden change of heart. Last week Marshall settled with Endo International (ENDP) a day before the Alabama was to face Endo and McKesson in court:
Alabama was expected to go to trial Monday of this week. However, Alabama AG Steve Marshall signed an emergency opioid settlement with Endo (ENDP) Sunday night. Marshall is also negotiating feverishly with McKesson (MCK). I explain why Alabama was in such a rush to settle.
The other oddity was that Alabama nor Endo announced the settlement. The settlement was divulged by McKesson, which is attempting to mediate the state’s claims out of court. After doing more research, the Shock Exchange believes Endo likely settled for cents on the dollar. Read more:
[…] Endo’s Alabama Opioid Settlement Was Likely For Cents On The Dollar […]