Pfizer Inc, on Tuesday, said it has reached a $486 million settlement of shareholder litigation accusing it of causing big losses for shareholders by concealing safety risks associated with its Celebrex and Bextra pain-relieving drugs.
Pfizer pulled Bextra from the U.S. market in April 2005, and agreed in September 2009 to pay $2.3 billion to settle a U.S. government probe into the marketing of Bextra and other drugs.
The accord is subject to negotiation of a final settlement agreement and court approval, and would end more than 11 years of litigation against the New York-based drugmaker and several officials, including former Chief Executive Henry McKinnell.
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Pfizer said it has set aside reserves to cover the entire settlement, in which all defendants denied wrongdoing.
Gregory Joseph, a lawyer for shareholders including the Teachers’ Retirement System of Louisiana, declined to comment.