FTSE Friday: GSK’s lawsuit result, where next for Vodafone?

Companies covered this week:

GSK - shares surge after Zantac litigation thrown out
Vodafone - Nick Read to step down as CEO
Games Workshop - trading update

GSK: Relief in Zantac litigation
GSK (LON:GSK) shares surged on Tuesday after a court in Florida threw out 2,500 lawsuits which claimed its heartburn medicine, Zantac (which is also sold under the generic name, ranitidine), causes cancer. US district judge Robin Rosenberg said that the lawsuits were based on “flawed science”, and that the only reliable test of the medicine showed an “unprovable risk of cancer”.
GSK is still facing thousands of personal injury lawsuits in state courts, but the likelihood of exorbitant payouts to the 77,000 claimants (cancer patients who believe Zantac caused their illness) has been reduced following the ruling by the district litigation. In August when the lawsuits were first filed, analysts suggested damages could reach $45bn. In the third quarter alone, GSK spent £45m on legal fees relating purely to the Zantac case.
GSK’s many investors will be relieved by this ruling - the lawsuits have weighed on the share price for the last six months - but it still serves as a reminder of what a mucky business pharmaceuticals can be.
Zantac is not...