Johnson & Johnson's Subsidiary Discontinues Some Megadyne Electrodes For Pediatric Use
Portfolio Pulse from Vandana Singh
Johnson & Johnson's subsidiary Ethicon's Megadyne division is discontinuing its Mega Soft Pediatric Patient Return Electrodes due to reports of patient burns, including some third-degree injuries. The FDA has classified this as a Class I recall, affecting 21,200 devices over two years, with an expansion in December 2023 to restrict use to patients 12 years and older. This decision impacts approximately 9,500 units and follows reports of at least 63 injuries but no deaths. The recall specifically targets the 0840 pediatric pad, designed for patients under 12, after a root cause investigation linked certain conditions to potential thermal injuries.
May 13, 2024 | 6:30 pm
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NEGATIVE IMPACT
Johnson & Johnson's recall of pediatric electrodes due to safety concerns may impact investor sentiment, despite the stock being up 0.41% at last check. The recall, classified as Class I by the FDA, signifies a serious risk to health, potentially affecting JNJ's reputation and financials in the short term.
The recall of a product, especially one classified as Class I by the FDA, indicates a serious health risk that could lead to legal, financial, and reputational repercussions for Johnson & Johnson. Although the stock is currently up, the news of the recall could lead to negative investor sentiment in the short term, potentially affecting the stock price negatively.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100