Cal-Maine Foods, Versova/Centrum, and Hickman's Egg Ranch, three of the largest egg producers in the U.S., have reached a settlement with the U.S. Department of Justice (DOJ) and a coalition of 17 states, led by New York Attorney General Letitia James. This agreement resolves an investigation into their alleged manipulation of egg prices, which artificially increased costs for retailers and consumers nationwide. The investigation found that from approximately June 2022 to March 2025, these companies secretly communicated to coordinate bidding activity and influence daily egg price quotes published by Urner Barry, a key benchmark pricing service.
Under the terms of the settlement, the companies will collectively pay $3.3 million to the states and donate 53 million eggs to food banks and non-profit organizations across the participating states. Approximately 4.9 million of these eggs will specifically benefit New Yorkers. They must also cease their illegal coordination, implement compliance measures to prevent future violations, and cooperate with state and DOJ oversight, including designating antitrust compliance officers.
Cal-Maine Foods, while denying any wrongdoing and stating it faced no fines or penalties, agreed to pay $1.5 million to the states and donate 30 million eggs. The company asserted that its conduct was lawful and that communications, primarily by a single former employee, did not impact egg prices. Cal-Maine also highlighted its cooperation with the 15-month DOJ investigation, which focused on whether egg producers in a cooperative were attempting to manipulate an industry price index by sharing bidding information. Cal-Maine had previously exited this cooperative in May 2024, prior to the investigation's initiation.
The participating states in the settlement include Arizona, California, Colorado, Connecticut, Florida, Hawaii, Iowa, Maryland, Minnesota, North Carolina, Ohio, Pennsylvania, Texas, Utah, Vermont, and Wisconsin, alongside New York. This settlement aims to restore fair market practices and compensate consumers impacted by these alleged price manipulations.
