Coca-Cola settles stockholder lawsuit with 137 million

0 Comments | AFP, July, 2008

WASHINGTON (AFP) — Soft drinks giant Coca-Cola has agreed to pay 137.5 million dollars to settle a stockholder lawsuit accusing it of price inflation, The Wall Street Journal has reported on its website.

Filed in US District Court in Atlanta, Georgia, the settlement ends an eight-year legal battle with the Philadelphia, Pennsylvania-based Carpenters Health and Welfare Fund, the daily said.

Investors had accused the company of forcing some of its bottlers to buy excessive quantities of the concentrate used in making the soft drink in order to inflate its financial results and share price.

The Carpenters fund sought damages for investors who bought Coca-Cola stock when its prices were artificially inflated by means of the ruse.

© 2008 AFP

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