According to CNN Business, Johnson & Johnson stock fell by more than 11 per cent (and counting!) on Friday afternoon following a shocking Reuters report that claimed the company was aware — for decades — that asbestos was present in its baby powder.
The company is already in the midst of legal proceedings regarding allegations that some of its talcum powder products caused cancer. (Read the full Reuters report here.)
Despite denial on the part of Johnson & Johnson, the Reuters report cites numerous documents that suggest company executives, scientists and even doctors knew about the asbestos problem and failed to disclose the information to the public.
Reuters claimed to have examined previously unreleased documents, including trial testimony pertaining to information that from roughly 1971 to the early 2000s, Johnson & Johnson’s raw talc and baby powders sometimes tested positive for trace amounts of asbestos, a human carcinogen that can result in certain cancers.