Bayer Loses First Lawsuit To Stroke Victim Over PPA
One of the world's largest drug companies, Bayer AG, finally felt the sting of its actions Wednesday when an El Paso, Texas, court awarded $400,000 to a consumer who claimed an ingredient in Bayer's Alka-Seltzer Plus cold medicine -- phenylpropanolamine (PPA) -- caused his stroke.
For Bayer, the trouble is just beginning. The Wednesday verdict is just the first verdict among more than 1,000 that have been filed! Bayer isn't entirely to blame for this problem, however. FDA asked companies using PPA in their cold products to VOLUNTARILY take the products off the market about four years ago due to possible health risks.
Bayer's stock price certainly reflected the announcement, along with a second shot of bad news Wednesday from the Justice Department that fined the company almost $5 million for price-fixing.
Follow this link, if you want to know more about the recent history behind PPA.
October 15, 2004