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The fine was the 1/3 of yearly revenue, in 2023 their revenue was $32.68B, net income was -$7B (that’s a negative seven billion). Im not sure of the payment ti

The fine was the 1/3 of yearly revenue, in 2023 their revenue was $32.68B, net income was -$7B (that’s a negative seven billion). Im not sure of the payment timeline or if they have insurance, but it seems likely this will wipe out a few years of profitability and may force the sale of business units. That said, I do think personal culpability is probably a better incentive and more ethically reasonable depending on the circumstances. Though that’d have to be criminal neglect, using laws we probably already have. In other words, this is a civil penalty, not the same as a criminal case with higher burdens of proof and motives need to be established.

rahimnathwani 3y ago
this will wipe out a few years of profitability They've already recognized most of the loss, so most of the impact on profits is in the past. From the Q2 2023 10-Q: During the first six months of 2023, as a result of ongoing review and recent developments in ongoing environmental matters and litigation (including the proposed PWS Settlement), the Company increased its accrual for PFAS-related other environmental liabilities by $10.3 billion and made related payments of $38 million. As of June 30, 2023, the Company had recorded liabilities of $10.9 billion for “other environmental liabilities.” These amounts are reflected in the consolidated balance sheet within other current liabilities ($0.3 billion) and other liabilities ($10.6 billion). The accruals represent the Company’s estimate of the probable loss in connection with the environmental matters and PFAS-related matters and litigation described above. The Company is not able to estimate a possible loss or range of possible loss in excess of the established accruals at this time.