Coke Agrees to Settle Discrimination Lawsuit

Coca-Cola Co. agreed to settle a lawsuit filed last year by eight current and former employees who accused the beverage giant of denying them raises, promotions and fair performance reviews because of their race. The size of the monetary settlement was not immediately disclosed, and other details of the suit remained to be worked out. A lawyer close to the negotiations said the settlement could cover as many as 2,000 Coke employees who were part of a potential class that plaintiffs had sought to include in the suit. U.S. District Judge Richard Story in Atlanta signed an order delaying the litigation until Oct. 30, allowing both sides to conclude details of the settlement. Story said there would be a public hearing before he approved any settlement. Coke Chief Executive Doug Daft said in a memo to employees that the agreement “will result in a meaningful and constructive resolution that both parties can embrace and serves the vital interests of all concerned.” A spokesman said the company would have no additional comment. Plaintiffs’ attorney Cyrus Mehri, who sued Texaco on behalf of black employees and won a $176-million settlement four years ago, did not return a call seeking comment. Shares of Atlanta-based Coca-Cola closed off 38 cents at $53 on the New York Stock Exchange.