This morning, Chemours discussed its financial performance during its Q3 Quarterly Earnings Call. Faced with clear and significant liabilities in connection to C-8 contamination, Chemours leadership gave no indication that the company has accrued for these costs while baselessly downplaying the possibility of punitive damage awards in the upcoming bellwether trials and incorrectly stating that the current class will not expand beyond the ~3,500 filed cases.
“Chemours’ attempt to kick the can down the road on C-8 liabilities adds insult to injury for victims of C-8 contamination,” said Joe Kiger, Advisor to Keep Your Promises. “The company’s statements about the likelihood of punitive damages, as well as the failure to accrue for the liabilities, will backfire on the company and its stakeholders much sooner than management is letting on and will be devastating for every man, woman, and child who has been harmed by this company’s toxic chemical.”
While the Columbus jury did not award punitive damages in the first bellwether case, there is a substantial likelihood that DuPont may be subject to future punitive damage awards given the well-documented fact that DuPont knew about the contamination and the harms of C-8.
Further, Chemours’ assertion that a two-year limitation on filing cases will limit the growth of the current number of cases (~3,500) is incorrect, since under the Leach settlement, any class member who discovers that they have a C-8-linked illness may file a case as a part of the current class.
Recent estimates for the total cost of C-8 liabilities range from $500 million to over $5 billion, yet Chemours still has not accrued for these costs.
Chemours’ misinformation and failure to accrue for substantial liabilities poses a serious risk to victims, stakeholders, and mid-Ohio Valley communities.