J&J Reaches Opioid Settlement Agreement with New York State Consistent with Terms of Previously Announced Broader Settlement Agreement in Principle

Johnson & Johnson and its U.S.-based Janssen Pharmaceutical Companies announced a settlement agreement with the State of New York and its participating subdivisions, including Nassau County and Suffolk County, resolving their opioid-related claims against the Company. With this agreement, the Company is removed from the trial scheduled to begin in Suffolk County on June 28, 2021.

The settlement will provide New York and its participating subdivisions with up to $263 million in funding to address opioid related issues, as well as reimbursement for attorney fees and costs. Note, the Company made the business decision in 2020 to discontinue all of its prescription pain medications in the United States. The settlement is not an admission of liability or wrongdoing by the Company, and it is consistent with the terms of the previously announced $5 billion all-in settlement agreement in principle for the resolution of opioid lawsuits and claims by states, cities, counties and tribal governments. The dollar amount to be received by the State is the pro-rated share it would have received under the broader agreement in principle, which will be deducted from the all-in settlement amount.

There continues to be progress toward finalizing the all-in settlement agreement, and the Company remains committed to providing certainty for involved parties and critical assistance for communities in need. The Company will continue to defend against any litigation that the final agreement does not resolve.

The Company’s actions relating to the marketing and promotion of important prescription pain medications were appropriate and responsible. Janssen developed two prescription opioid medicines – a patch and a crush-resistant tablet – designed to help patients suffering from pain. DURAGESIC, NUCYNTA, and NUCYNTA ER have accounted for less than one percent of total opioid prescriptions in the U.S. since launch. Although these products are no longer sold in the U.S. by the Company, it continues to work with partners to help families and communities address their opioid-related issues.