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by writimov 2587 days ago
What does this do to the company's financial future? If there are thousands more of these lawsuits coming and the legal precedent has been set, and this one verdict took 40% of Bayer's cash position away, how can they survive the next 12 months? Are they bankrupt already if even 10% of these lawsuits go through with the same verdict? https://seekingalpha.com/symbol/BAYRY/balance-sheet#figure_t... Even if the verdict is slashed to 1/10th $100mil and they win 90% of their lawsuits, they will still lose 1,000. That's 1k X $100mil = $100bil in losses. Even cutting this by 50% they are still out of business.
1 comments

The punitive damage awards will be reduced to no more than about 10X the compensatory damage awards, so the math shouldn't be done using the actual verdict size.