In a statement Wednesday morning, ABC said: “ABC has reached an amicable resolution of its dispute with the makers of ‘lean finely textured beef.’ Throughout this case, we have maintained that our reports accurately presented the facts and views of knowledgeable people about this product. Although we have concluded that continued litigation of this case is not in the Company’s interests, we remain committed to the vigorous pursuit of truth and the consumer’s right to know about the products they purchase.”
The settlement follows a trial that began on June 5. If BPI had won, it could have received a verdict of as much as $5.9 billion, according to published reports.
After the news reports, consumers were turned off by the term. At the time of the broadcasts, the product consisting of beef trimmings treated with ammonia was being used in 70 percent of ground beef. Demand fell, and BPI had to close three plants and lay off 700 workers.
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