SALT LAKE CITY (KUTV) — A truckload of eggs arrived at the Utah Food Bank on Monday, the first shipment of more than 1,500,000 eggs as part of a price-fixing settlement between the Utah Attorney General’s office and three major egg producers.
According the lawsuit, the egg companies – Cal-Main Foods, Inc., Versova Holdings, and Hickman’s Family Farms – coordinated to inflate the daily price quotes that set what shoppers pay for eggs. The State of Utah alleged that their practices drove up costs for eggs, impacting families.
“Utah families paid more than they should have for eggs, all because a few companies decided to cheat rather than compete,” said Attorney General Derek Brown. “I wanted our settlement to impact Utah families directly, instead of just sitting in a random government account.”
And so, Attorney General Brown said, that’s exactly what happened.
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Instead of the usual financial settlement, the first shipment of eggs reached the Utah Food Bank. The Utah Attorney General’s office said the food bank will the distribute the eggs through its statewide network so they reach the tables of families who count on food assistance.
“Food is at its most meaningful when it reaches people who need it most, and these eggs will do exactly that for the approximately 533,000 Utahns experiencing food insecurity,” said Utah Food Bank President and CEO Ginette Bott. “We’re grateful for the opportunity to be able to distribute such a highly nutritious and in-demand staple throughout the state via our network of 360 partner agencies.”
According to the General Attorney’s office, the settlement also prohibits the three egg companies for five years from communicating with competitors about bids, agreeing on prices or supply, or influencing bids. They must also file annual compliance certifications under penalty of perjury.
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