The group nevertheless raised its forecasts, now expecting an increase in its turnover of 5.5% for its accounting year.
Walmart loosens the purse strings to close the opiate case. The American distributor has announced that it will pay 3.1 billion dollars (3 billion euros) to put an end to the lawsuits against it, for having too widely delivered painkillers with opiates in the United States. These were the subject, between the end of the 1990s and the mid-2010s, of over-prescription which led many patients to become dependent on these painkillers or to turn to drugs. It is responsible for more than 500,000 deaths. “Pharmacies such as Walmart have played an undeniable role in perpetuating the destruction wrought by opiates”says New York Attorney General Letitia James.
Walmart is not the only group implicated. Pharmacy networks CVS and Walgreens each decided to pay $5 billion earlier this month to settle similar lawsuits. The distributors McKesson, AmerisourceBergen or Cardinal Health have also agreed to pay several billion dollars. Walmart stresses that having reached an agreement is not an admission of guilt. But he believes he acted “in the best interest of all parties”finding a compromise with the authorities. However, he will continue to “defend vigorously” against any charges not covered by the agreement.
The $3.1 billion in provisions weighed on its accounts in the third quarter. Walmart posted a loss of $1.8 billion. His business, on the other hand, is doing well. Sales increased by 8.2%, on a like-for-like basis, driven by price inflation. Over two years, they are up 17.4%. “Walmart continues to gain market share in the United States, driven by its food business”, welcomes Doug McMillon, CEO of the group. Walmart’s share price rose 7.14% Tuesday in session.
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