Johnson & Johnson shares plunge after report on asbestos in baby powder

In this file photo taken on July 13, 2018, In this photo illustration, a container of Johnson's baby powder made by Johnson and Johnson sits on a table on in San Francisco, California. (AFP)
Updated 15 December 2018

Johnson & Johnson shares plunge after report on asbestos in baby powder

  • The controversy has long dogged the company, which has been facing a wave of several thousand court cases claiming the baby powder is causing cancer

NEW YORK: US pharmaceutical and cosmetics group Johnson & Johnson saw its shares plunge Friday after a media report alleged the group had deliberately concealed for decades that its baby powder sometimes contained asbestos.
A lengthy investigation by the Reuters news agency, which reviewed thousands of company documents, showed the company marketed talc-based products that, at least between 1971 and the beginning in the 2000s, sometimes contained asbestos.
The company’s executives, researchers, doctors and lawyers were aware but deliberately chose not to disclose this information and not to refer it to the authorities, according to the report.
Johnson & Johnson strenuously rejected the claims made in the article, calling it “one-sided, false and inflammatory.”
“Simply put, the Reuters story is an absurd conspiracy theory,” the company said in a statement. “Johnson & Johnson’s baby powder is safe and asbestos-free.”
J&J stock closed down more than 10 percent at $133 on the New York Stock Exchange, its worst one-day fall in 16 years.
The controversy has long dogged the company, which has been facing a wave of several thousand court cases claiming the baby powder is causing cancer.
In July, Johnson & Johnson was ordered to pay $4.7 billion in damages to a group of 22 women claiming to have developed ovarian cancer following the use of the powder.
The company said Friday there were rigorous tests showing the talc did not contain the cancer-causing mineral.
In addition, “J&J has cooperated fully and openly with the US FDA and other global regulators, providing them with all the information they requested over decades.”
According to Reuters, the company also tried, unsuccessfully, to block regulations that lower the maximum level of asbestos allowed in talc-based cosmetics.


Startup of the Week: Saudi baker and chef winning hearts of food lovers

Photo supplied
Updated 20 August 2019

Startup of the Week: Saudi baker and chef winning hearts of food lovers

  • Working over 15 hours a day and being self-taught was just the start; Essam is the interior and graphic designer, the marketer, the CEO and the chef at White Mountain

A Saudi bakery and restaurant business specializing in pastries is finding its way into Saudi hearts with a delectable selection of fine Italian, French, and Swiss foods.
Ahmad Essam, 28, a self-taught baker and chef, left a productive family business to create what is now one of the most prestigious bakeries in Alkhobar.
Essam set up his bakery and restaurant while working as a production engineer, selling tarts and cakes to his friends.
He was overwhelmed by the encouragement he received, and little by little Essam, his dream of running his own company emerged.
Working over 15 hours a day and being self-taught was just the start; Essam is the interior and graphic designer, the marketer, the CEO and the chef at White Mountain.
Baking French pastries such as croissants, macarons, mille-feuille, eclairs and tarts require a true artisan. Essam described the glory he feels when he bakes, saying: “Dealing with precise tips to get the real essence of French pastries and reaching a level to bake without recipes is a matter of experience and good knowledge. Being a real baker requires a lot of learning as it’s not only about mixing water and flour; its trick lies behind the process of fermentation that sometimes lasts for days.’’
Every once in a while, the young man distributes membership books to loyal customers. “On Valentine’s Day, we distributed 3,000 roses,” he added.
Essam is very passionate, and dreams of opening a cooking academy in Saudi Arabia so he can inspire other amateur bakers; he told Arab News about his future 12,000-square-meters cooking village project that he is aiming to create in Riyadh, “including a library that collects all cookbooks, a seasonal spice shop, a great lake garden, a pizzeria, glossary shop and more, all of which falls under one theme: Cooking.”
For him, business is an obsession and profession. “Chefs have their egos. They are dealing with a tricky job and they know what they are doing exactly. They do not accept comments or advice from other chefs,” he explained.
You can follow him for more information on White Mountain on Instagram: @wm.bakery.