Johnson & Johnson discontinues talc baby powder in US and CanadaPublished by Terence Mahier | Source
Johnson & Johnson, the giant Pharmaceutical company, is withdrawing its iconic talc-based baby powder in the US & Canada 👶
Sales of the talc product were sharply declining for years because of what the company attributed “in large part to changes in consumer habits and fueled by misinformation around the safety of the product and a constant barrage of litigation advertising.” 🤔
Indeed, J&J had to pay billions to settle lawsuits from mothers around the world accusing the talc to be at the origin of their Ovarian cancer. No studies have been able to prove this link so far.
Will investors worry about a declining brand image? 📉
Johnson’s Baby Powder represents approximately 0.5% of the company’s total U.S. sales in its consumer unit, according to the company. Not much eventually, but the move could be seen as an admission of guilt.
Last year, J&J recalled around 33,000 bottles of baby powder in the U.S. after the Food and Drug Administration said they found trace amounts of asbestos, a known carcinogen, in a bottle purchased online. J&J later said it retested its Johnson’s Baby Powder and found no signs of asbestos that prompted the recall.
J&J is up 7% this year as it is developing a candidate vaccine for the COVID-19 💉
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20-May 09:14 (Eastern Time)
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