Attorney General Ken Paxton (R) announced settlements with three of the nation's largest egg producers that will provide more than 7 million eggs to Texas food banks and resolve allegations of an egg price-fixing conspiracy that inflated prices between 2022 and 2025.
Texas to Receive More Than 7 Million Eggs
AG Ken Paxton announced settlements with Cal-Maine Foods, Centrum/Versova, and Hickman's Egg Ranch over allegations that the companies conspired to artificially inflate egg prices.
Under the agreements, the companies will donate more than 53 million eggs to food banks and community organizations across participating states, including over 7 million eggs for Texas food banks.
The companies will also pay a combined $3.3 million to states involved in the settlement.
What was the Investigation About?
The settlements resolve antitrust claims brought by 17 state attorneys general involving alleged conduct between 2022 and 2025.
According to Paxton's office, investigators working alongside the U.S. Department of Justice found the companies coordinated bidding activity to influence egg price benchmarks published by Urner Barry, a price service widely used in contracts with grocery stores and food service companies.
State officials allege that manipulating those benchmark prices resulted in higher egg costs for consumers.
Settlement Requirements
In addition to donating eggs and paying monetary penalties, the companies agreed to:
- Donate more than 7 million eggs to Texas food banks.
- Implement antitrust compliance programs.
- Appoint compliance officers to oversee future business practices.
- Report and future violations to state attorneys general and the U.S. Department of Justice.
- End the conduct alleged in the lawsuit.
The Attorney General's Office will coordinate the distribution of the eggs to participating food banks across the state in the coming month.
What Paxton is saying
Attorney General Ken Paxton: "I will continue to hold any corporation accountable if they violate our laws to raise prices on Texans."
AG Paxton continued: "These three major egg producers conspired to profit off antitrust violations that ultimately raised the prices of eggs for Americans."
The Bottom Line
Texas will receive more than 7 million eggs for food banks under settlements with three major egg producers accused of coordinating to inflate egg prices. State officials say the agreements provide immediate assistance to Texans while requiring reforms intended to prevent future antitrust violations.
