Bread-fixing settlement delivers $253 million hit to George Weston Q2 results
By The Canadian Press on July 30, 2024.
TORONTO – George Weston Ltd. says a recent settlement it reached in the bread price-fixing class actions it faced had a $253 million impact on its second-quarter net earnings. The company, which holds a majority interest in grocer Loblaw Cos. Ltd., says its net earnings amounted to $667 million in the period ended June 15. That compared with net earnings of $782 million a year earlier. Its net earnings attributable to shareholders totalled $410 million compared with $508 million a year before. Revenue for the quarter amounted to about $14 billion, up from $13.8 billion a year prior. The bulk of that revenue, more than $13 billion, came from Loblaw, which George Weston says saw an increase in retail sales recently. Its Choice Properties Real Estate Investment Trust also saw a jump in revenue because of higher rental rates and the completion of acquisitions and developments. The bread-fixing class-action cases alleged defendants including George Weston and Loblaw conspired to fix the price of packaged bread in Canada. Loblaw agreed to a $252.5 million settlement. This report by The Canadian Press was first published July 30, 2024. Companies in this story: (TSX:WN) 9-8
