Settlement Reached In Tainted-Blood Case

Four companies that may have distributed HIV-tainted blood would reimburse the government nearly $12.2 million for payments made by federal health insurance programs under a settlement announced Monday.

The agreement comes as the companies try to resolve a class-action lawsuit involving more than 6,000 hemophiliacs with AIDS. A tentative settlement in the case would pay the plaintiffs or their survivors $100,000 each.

The agreement, signed with the Justice Department April 30, involves the following companies: Alpha Therapeutic Corp., a U.S. division of Green Cross of Japan; Armour Pharmaceutical, a division of Rhone-Poulenc Rorer; Baxter Healthcare Corp.; and Bayer Corp. Bayer would pay 45 percent of the $12.2 million settlement, Armour and Baxter 20 percent each and Alpha 15 percent.

The settlement must be approved by a U.S. District Court judge in Chicago who is supervising the deal.