GlaxoSmithKline Settles Litigation

U.K. drug giant GlaxoSmihKline ( GSK) Thursday said it will pay $92 million to settle class-action lawsuits as part of antitrust litigation involving its antibiotic Augmentin.

The company said it is also "progressing toward settlement of certain other legal matters for which additional provision is required."

As a result, the drugmaker said it will take a charge of 170 million British pounds, or more than $300 million based on current exchange rates, in connection with the case, which dates back to 2002.

GSK added that its 2004 earnings guidance remains unchanged because the charges will be "largely offset by gains realized from the sale of equity investments and other income."

The company said it "continues to believe that its actions were appropriate in obtaining and enforcing its patents for Augmentin."

Shares rose 13 cents, or 0.3%, to $40.80.

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