Cincinnati-based consumer products maker Procter and Gamble (P&G) saw its shares tumble on Thursday, due to a rumored trading error on its shares.
Shares dipped 2.3 percent as a trader from a major firm reportedly may have erroneously entered a sell order of $16 billion, instead of $16 million, causing shares of P&G, a major component of the Dow Jones Industrial Average, to tumble for a brief moment.
P&G battled rumors surrounding Pampers’ new Dry Max Diapers, which have sold more than 2 billion units to date. A multitude of reports said that the diapers cause chemical burns on children’s skin. Pampers released a press statement on P&G’s official website denying any claims of harmful diapers.
“We have comprehensively and thoroughly investigated these and other claims and have found no evidence whatsoever that the reported conditions were in any way caused by materials in our product, said Jodi Allen, Pampers Vice President.
“We aren’t in a position to comment on the details of an individual trade today but we believe the trade was an error,” officials from P&G told the Wall Street Journal.
The company pointed out that diaper rash can occur with the use of cloth diapers as well as disposable diapers. Pampers also claims that disposable diapers have decreased the percentage of diaper rash by more than 50 percent over the past forty years.
“At Pampers, we want to reassure all parents that the materials used in the new diaper are not new-they are the same type used in our previous products-and do not and cannot cause so-called chemical burns or other serious skin conditions,” said Allen.
Shares dipped 2.3 percent as a trader from a major firm reportedly may have erroneously entered a sell order of $16 billion, instead of $16 million, causing shares of P&G, a major component of the Dow Jones Industrial Average, to tumble for a brief moment.
P&G battled rumors surrounding Pampers’ new Dry Max Diapers, which have sold more than 2 billion units to date. A multitude of reports said that the diapers cause chemical burns on children’s skin. Pampers released a press statement on P&G’s official website denying any claims of harmful diapers.
“We have comprehensively and thoroughly investigated these and other claims and have found no evidence whatsoever that the reported conditions were in any way caused by materials in our product, said Jodi Allen, Pampers Vice President.
“We aren’t in a position to comment on the details of an individual trade today but we believe the trade was an error,” officials from P&G told the Wall Street Journal.
The company pointed out that diaper rash can occur with the use of cloth diapers as well as disposable diapers. Pampers also claims that disposable diapers have decreased the percentage of diaper rash by more than 50 percent over the past forty years.
“At Pampers, we want to reassure all parents that the materials used in the new diaper are not new-they are the same type used in our previous products-and do not and cannot cause so-called chemical burns or other serious skin conditions,” said Allen.
