In the morning news on October 31, Gree Electric issued a statement on the case involving litigation in the United States, stating that the problems involved in the above agreement all occurred 8 years ago, and no similar problems occurred after 2013. The amount involved in the agreement has been fully accrued and will not affect the company’s normal operations and current year’s performance.The following is the full text content:
aboutGreeExplanation of cases involving electrical appliances in the United States
On October 30th, our company paid attention to media disseminating news related to Gree’s litigation in the United States on the Internet. The explanation is as follows:
Our company recently reached an agreement with the Consumer Protection Division of the US Department of Justice and the Office of the Federal Attorney for the Central District of California (collectively referred to as DOJ). The products involved in the agreement are the products produced by the company from 2005 to 2012 and exported to North America.Dehumidificationmachine.
Our company received an accident complaint in 2012 and reported it to the US Consumer Product Safety Commission (CPSC) in June 2013. Due to the delayed declaration, our company and CPSC reached a civil settlement in 2016 and paid 15.45 million US dollars.
In 2017, DOJ asked our company to take responsibility for this same incident. After many rounds of negotiations, our company and DOJ recently reached an agreement to pay 75.75 million US dollars. If the company complies with the agreement, DOJ will close the case after the three-year period ends.
The problems involved in the above agreements all occurred 8 years ago, and there have been no similar problems since 2013. The amount involved in the agreement has been fully accrued and will not affect our company’s normal operations and current year’s performance.