Viscofan sinks in the stock market after accusations of environmental pollution and dangerous labor practices at its Illinois plant

Viscofan plummeted 13.24% on the stock market this Tuesday, after a report in the North American media outlet Hunterbrook Media denounced the situation at its factory in Danville, Illinois (United States), which passes through the environmental pollution, negative impact on health, dangerous work practices and lack of union protection.

Viscofan has “categorically” denied the accusations made by said media about environmental non-compliance at the Danville plant that harms the health of its workers or the environment, as explained to the National Securities Market Commission (CNMV).

“The Viscofan plant in Danville complies with strict environmental measures, which are regularly monitored by the American Administration, no serious breaches have been reported in this matter“, has assured the Navarrese company. Viscofan has stressed that it has a “solid” track record in the United States, with more than thirty years selling and producing casings in this country.

“We are very proud of the nearly 600 people who work daily at our facilities in Danville, New Jersey and Montgomery, meeting strict local and international standards for quality, safety and employee well-being,” the group said.

Viscofan has stressed that its environmental and safety policies are pillars of its business model and has guaranteed safe and transparent work environments, as well as a constant commitment to operational excellence and the protection of its equipment. In this sense, he has indicated that the audited information that he publishes annually addresses “many of the concerns” mentioned.

In this context, the company’s shares have ended the session with a fall of 13.24%, the largest recorded since June 2022, reaching a price of 51.1 euros.

Heavy losses in the stock market

So far this year, the company has lost 16.23%, with a market capitalization of 2,375 million euros. “As diseases spread and names of former employees fill obituary pages, Danville residents surrounding the Viscofan sausage casing factory are asking: Why is this plant still here?” Hunterbrook Media reported.

According to the investigation, Hunterbrook identified about two dozen former employees who have developed cancer, Parkinson’s, cardiovascular disease and other serious conditions after working at the plant.

In the report, which also reveals that the company withdrew local union protection, an Environmental Protection Agency (EPA) inspector called the facility “an unpermitted hazardous waste landfill, without any of the engineering requirements of a real landfill.” According to the report, “Viscofan’s Danville plant has violated the Clean Air Act in seven of the last twelve quarters, and each of them was flagged as ‘high priority.'”