Vitarich, AXA end insurance dispute with P400-M settlement
Vitarich Corp. reached a P400-million settlement with AXA Philippines, resolving a dispute over damages from Typhoon Ondoy in 2009.Summary
Vitarich Corp. (VITA) has secured a P400-million settlement from AXA Philippines Life and General Insurance Co. (AXA Philippines) to resolve a long-standing insurance dispute stemming from damages caused by Typhoon Ondoy in 2009. The settlement, reached on December 19th, is significantly higher than the P247.62 million initially awarded by the Malolos City Regional Trial Court Branch 15 in May 2023, which AXA had appealed. AXA settled without admitting fault to avoid further litigation.
Vitarich anticipates the settlement will positively impact its financial standing, estimating an additional P196 million in net income and P267 million in net cash flow. This comes at a time when the company reported a P114.43-million net loss in the third quarter of 2025, a reversal from the P120.56-million net income reported the previous year, attributed to declining chicken prices and limited chick availability.
The settlement was authorized by Vitarich’s board and accepted by President and CEO Ricardo Manuel M. Sarmiento. Following the announcement, Vitarich shares increased by 1.85%, closing at 55 centavos apiece on Monday.
(Source：Businessworld Online)