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ABC, meat producer settle in $1.9B ‘pink slime’ libel suit

FILE - This March 29, 2012, file photo, shows the beef product that critics call "pink slime" during a plant tour of Beef Products Inc. in South Sioux City, Neb. Beef Products Inc. says the settlement reached with ABC in a $1.9 billion defamation lawsuit over the network's reports on its lean, finely textured beef product provides a strong foundation on which to grow the business. The terms of the settlement announced Wednesday, June 28, 2017 are confidential. (AP Photo/Nati Harnik, File)
FILE - This March 29, 2012, file photo, shows the beef product that critics call "pink slime" during a plant tour of Beef Products Inc. in South Sioux City, Neb. Beef Products Inc. says the settlement reached with ABC in a $1.9 billion defamation lawsuit over the network's reports on its lean, finely textured beef product provides a strong foundation on which to grow the business. The terms of the settlement announced Wednesday, June 28, 2017 are confidential. (AP Photo/Nati Harnik, File) FILE - This March 29, 2012, file photo, shows the beef product that critics call "pink slime" during a plant tour of Beef Products Inc. in South Sioux City, Neb. Beef Products Inc. says the settlement reached with ABC in a $1.9 billion defamation lawsuit over the network's reports on its lean, finely textured beef product provides a strong foundation on which to grow the business. The terms of the settlement announced Wednesday, June 28, 2017 are confidential. (AP Photo/Nati Harnik, File)

SIOUX FALLS, S.D. (AP) – ABC and a South Dakota meat producer announced a settlement Wednesday in a $1.9 billion lawsuit against the American network over its reports on a lean, finely textured beef product that critics dubbed “pink slime.”

The terms of the settlement are confidential. Dakota Dunes-based Beef Products Inc. sued ABC in 2012, saying ABC’s coverage misled consumers into believing the product is unsafe, is not beef and isn’t nutritious. ABC spokeswoman Julie Townsend said in a Wednesday statement that the network throughout the case has maintained its reports accurately presented the facts and views of knowledgeable people about the product.

“Although we have concluded that continued litigation of this case is not in the Company’s interests, we remain committed to the vigorous pursuit of truth and the consumer’s right to know about the products they purchase,” Townsend said.

BPI and its family owners said in a statement that the lawsuit was difficult, but necessary to start rectifying the harm suffered as a result of ABC’s reports on lean, finely textured beef. The coverage emphasized that the product at the time was present in 70 percent of the ground beef sold in supermarkets, but wasn’t labeled.

After the reports aired, some grocery store chains said they would stop carrying ground beef that contained the product. BPI claimed in the 2012 complaint that sales declined from about 5 million pounds (2.3 million kilograms) per week to less than 2 million pounds (907,000 kilograms) per week.