what happened

sotera health (SHC -33.27%) The stock fell sharply on Monday, making it one of the worst-performing healthcare stocks. Investors sold the company after a jury ruled against it in a lawsuit in Illinois. As a result, Sotera’s stock price plummeted by more than 33% on the day.

So what

A jury convened that morning in the state’s Cook County determined that Sotera, Sterigenics and privately held Griffith Foods should pay plaintiff Susan Kamuda a total of $363 million. Kamuda claimed that ethylene oxide emissions from her Sterigenics plant in the state caused her breast cancer and her son’s non-Hodgkin’s lymphoma.

Sterigenics is a Sotera subsidiary that specializes in sterilizing healthcare devices. Griffith Foods is the successor to the entity that originally built and operated the factory.

The jury’s award was higher than the $346 million demanded by Kamuda’s attorneys during the court proceedings.

A 2018 Environmental Protection Agency study found that residents living near factories contracted cancer at a rate nine times higher than the U.S. average. The following year, the state ordered the facility closed.

So

Kamuda is just one of more than 700 people who have sued Sterigenics over cancer claims. Kamuda’s lawsuit is the first to be completed and may provide some of the template for subsequent lawsuits.

On Monday, Steligenics released a statement, part of which said, “We do not believe the jury verdict on this matter reflects the evidence presented in court. Steligenics is evaluating the verdict. will appeal this decision through all appropriate processes, including appeals.”

“As we have consistently done throughout our history, we will comply with applicable rules and regulations to ensure the safety of our employees, the communities in which we operate, and patients around the world. We will continue to operate our business through these efforts,” he added.