reached an agreement to settle litigation claims made by Invamed and Apothecon regarding the raw material source for warfarin sodium.
Under the terms of the agreement, Barr has agreed to provide a one-time payment of $22.5 million to the plaintiffs. The company will record a charge of 13 cents a share in the quarter ending June 30.
"While Barr believes that the lawsuit filed against it by Invamed and Apothecon was without merit and that our agreement with our raw material supplier was lawful, we made what we believe is a prudent decision to settle the claims to avoid further defense costs and valuable management resources," the company said.
The agreement terminates the litigation between the sides.
In February 1998, Invamed and Apothecon, which have since been acquired by
unit Sandoz, filed a lawsuit alleging that Barr violated antitrust laws and unlawfully blocked access to the raw material source for warfarin sodium.
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