Philips earmarks $322 million for pending DOJ settlement on sleep-apnea device recall

Philips' Respironics division announced it has reached an agreement in principle with the U.S. Department of Justice to settle the investigation into its sleep‑apnea device recall.

The recall, initiated in 2021, stemmed from concerns that the sound‑dampening foam in the devices could break down and release potentially harmful particles.

After a $1.1 billion settlement in 2024 to resolve personal‑injury lawsuits, the company recorded a provision of 288 million euros (about $322 million) in its third‑quarter results, with payment expected in the first quarter of 2027.

A separate investigation by state attorneys general remains ongoing.