Key facts
- The U.S. Justice Department and 17 states settled with three egg producers: Cal-Maine Foods, Versova, and Hickman's Egg Ranch.
- The producers will pay a total of $3.3 million and donate 53 million eggs to food banks.
- Cal-Maine Foods will pay $1.5 million and donate 30 million eggs.
- The investigation found the companies illegally coordinated to influence a daily egg price index, artificially increasing prices.
- The companies must cease price manipulation and implement compliance measures.
The U.S. Justice Department, alongside a coalition of 17 states, has reached a settlement with three major U.S. egg producers—Cal-Maine Foods, Versova, and Hickman's Egg Ranch—concluding an investigation into alleged price manipulation. The agreement requires the companies to pay a combined $3.3 million and donate 53 million eggs to food banks and nonprofit organizations across the participating states.
Cal-Maine Foods, in a separate statement, confirmed its contribution to the settlement, agreeing to pay $1.5 million and donate 30 million eggs. The company has denied any wrongdoing and stated that no fines or penalties were assessed against it. As part of the agreement, Cal-Maine Foods will implement specific compliance and reporting measures.
According to the New York Attorney General's office, the investigation revealed that the companies engaged in illegal coordination for years to influence a daily price index for eggs. This alleged coordination artificially inflated prices for retailers and consumers nationwide. The settlement mandates that all three companies cease their price manipulation activities, adopt compliance measures to prevent future violations, and fully cooperate with state oversight.