3M to Pay $1 Billion in Cash Instead of Stock in Earplug Deal

3M Co. will pay $1 billion in cash instead of stock as part of a $6 billion settlement over allegedly defective combat earplugs, it said one month after getting court permission to issue the unregistered stock.

The decision is “irrevocable,” according to the parties’ settlement amendment, included with a court order Jan. 26 in the US District Court for the Northern District of Florida. The new agreement lays out a schedule of six payments starting shortly after a court official determines that a threshold 98% claimant participation level has been reached.

3M said in a press release Monday that participation ...