3M Co to stop manufacturing PFAS
2022.12.20 07:52
3M Co to stop manufacturing PFAS
Budrigannews.com – PFAS, also known as “forever chemicals,” are used in everything from cellphones to semiconductors and have been linked to a variety of illnesses, including cancer, heart problems, and low birth weights. U.S. industrial conglomerate 3M Co. set a deadline of 2025 to stop producing them.
Because they don’t break down quickly, the per- and polyfluoroalkyl substances are known as “forever chemicals.” In recent years, they have been found in high concentrations in food, soil, and drinking water all over the country.
The move is made in the midst of growing legal pressure regarding chemical damage. 3M and DuPont de Nemours (NYSE:) last month Inc was one of several businesses that were sued by the attorney general of California to get their share of the cleanup costs.
In recent years, investors managing $8 trillion in assets have written to 54 companies urging them to phase out their use of the chemicals. This is the latest example of the growing pressure on businesses to stop producing the chemicals.
With estimated earnings before interest, taxes, and amortization (EBITDA) margins of approximately 16%, 3M’s manufactured PFAS net sales currently amount to approximately $1.3 billion annually.
The organization hopes to cause related complete pre-charge charges of about $1.3 billion to $2.3 billion throughout the span of its exit from PFAS.
3M anticipates a pre-tax charge of between $0.7 billion and $1.0 billion in the fourth quarter, primarily non-cash and related to asset impairments.
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The Biden administration announced in August of this year that it would propose making certain “forever chemicals” hazardous under the country’s Superfund program.
