Johnson & Johnson announced on Tuesday that a new series of tests on the same bottle of Baby Powder previously tested by the U.S. Food & Drug Adminstration showed no asbestos.
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In the extended session, the stock popped over 3 percent indicating a positive move on Wednesday at the open.
|JNJ||JOHNSON & JOHNSON||134.94||+3.98||+3.04%|
In a press release, the drug maker which has been under fire following a voluntary recall of the powder earlier this month, specified that 15 tests from the same bottle were completed and in addition 48 tests of the powder were conducted only to show no signs of the dangerous chemical.
“Rigorous and third-party testing confirms there is no asbestos in Johnson’s Baby Powder. We stand by the safety of our product" the company said in a statement. The testing is part of ongoing testing and investigation of the product.
The voluntary recall, which the company said was done "out of an abundance of caution", was followed by testing conducted by two third-party labs. One of the labs may have become contaminated, the company disclosed, describing this scenario in its statement:
"In that auxiliary room, five samples were prepared, and three initially tested positive for asbestos. Upon this finding, the laboratory undertook an investigation and determined that a portable air conditioner in use during sample preparation in the auxiliary room was contaminated with asbestos. No asbestos was detected in any of the samples when prepared in the standard room. This finding underscores the importance of investigating any positive test result. Even when careful safeguards are followed, asbestos contamination may be introduced during sample division, storage, preparation and analysis, according to the American Society for Testing and Materials, an International Standards Organization that identifies contamination as a concern in asbestos analysis" the company said.
J&J shares are little changed this year compared to a 21 percent gain in the S&P 500.