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Matrixx, Zila settlement

This article was originally published in The Tan Sheet

Executive Summary

Zila's existing swab supply agreement with Matrixx extended 90 days to March 31, 2004 under a litigation settlement announced Aug. 14. However, "it is unlikely that the contract will be renewed at that time," Zila says. Under the pact, Matrixx accepted Zila's current production level and swab price increases, Zila says. Matrixx, which markets Zicam Cold Remedy Swabs, filed suit in Arizona state court in April, alleging that Zila breached its supply contract by not producing agreed-upon levels of swabs and raising prices (1"The Tan Sheet" April 28, 2003, In Brief)...

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