Louisiana-Pacific in $46.8M antitrust settlement

The company "vehemently" denied it violated any antitrust laws, and said it settled the suits in order to limit the risks and costs associated with lengthy trials.

Under terms of the settlement, Louisiana-Pacific will pay $44.5 million into an escrow account for the benefit of the certified class of direct purchasers of oriented strand board. An initial payment of $10 million is due within 10 business days of the settlement execution date, and the remainder is due on Oct. 1.

The company has also agreed to put $2.3 million into an escrow account for indirect purchasers of oriented strand board.

The settlement is still subject to court approval.

Several lawsuits were filed by purchasers of oriented strand board--a plywood-type product used as floor and roof decking--in 2006 alleging Louisiana-Pacific and other producers engaged in a price-fixing scheme.

Shares fell 27 cents, or 3.4 percent, to $7.69 in morning trading. The stock earlier hit a 52-week low of $7.62, after ranging from $7.80 to $20.84 over the past year.