Kraft settles water, air contamination class action lawsuit

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ATTICA, IN, May 25, 2011 -- To settle allegations that one of its factories contaminated groundwater in Attica, IN, Kraft Foods will pay $8.1 million to the 124 families affected.

Plaintiffs in the lawsuit alleged that various chemicals, such as cleaning products, were spilled on plant property beginning in 1957. Families living near the plant claimed that the chemicals were dumped into the ground, thereby contaminating the groundwater -- which in turn allowed cancer-causing vapors to migrate up from the groundwater and into their homes.

The chemicals, which were discovered in testing to be present in homes in the impacted area, included vinyl chloride, trichloroethylene and tetrachloroethylene.

Under the terms of the agreement, Kraft is also required to clean up the plant site and groundwater, and install mitigation systems in affected homes.

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