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Pharmaceutical giant GlaxoSmithKline has settled more compensation claims by people alleging that its diabetes drug Avandia caused heart attacks.
While a spokeswoman for the company declined to give details on the number of cases involved or on the agreements reached, Deutsche Bank analyst Mark Clark said he believed around 50% had been closed.
“This implies that close to half of the cases have now been settled and should ease some fears about Vioxx-type liabilities,” he explained, adding that any further costs should be comfortably covered by the firm’s legal fighting fund.
Glaxo has already paid money to close claims related to the drug, dishing out around £40 million last month to bring 700 lawsuits to an end.
Industry watchers believe the company had faced around 13,000 claims for damages over the treatment.
The first product liability case involving Avandia will go to court in the United States in October.
Copyright Press Association 2010
GlaxoSmithKline
