The U.S. Department of Justice (DOJ) and 17 state attorneys general have reached a settlement with three major egg producers—Cal-Maine Foods, Hickman’s Egg Ranch, and Versova Holdings—over allegations of price manipulation. The agreement requires the companies to pay $3.3 million and donate 53 million eggs to food banks and nonprofits across 17 states.
Part 1: Immediate Action & Core Facts
The DOJ’s Antitrust Division sued the companies in April 2025, accusing them of colluding to inflate egg prices between June 2022 and March 2025. The lawsuit claims executives coordinated bids to manipulate benchmark prices reported by Urner Barry Publications, a key market tracker. After learning of the investigation, the companies allegedly dropped prices significantly.
Part 2: Deeper Dive & Context
Alleged Manipulation Methods
The complaint cites internal communications, including text messages and emails, where executives discussed strategies to influence Urner Barry’s price quotations. For example, a Cal-Maine executive allegedly urged a competitor to “hold” prices in October 2023. The companies also allegedly executed private trades at inflated prices to justify higher benchmarks.
Settlement Details
The 53 million donated eggs will be distributed in states including California, Texas, New York, and Wisconsin. California expects 8.9 million eggs, while Texas anticipates over 7 million. The $3.3 million payment will be split among the participating states.
Industry and Regulatory Response
Cal-Maine and Versova denied wrongdoing, while Hickman’s Egg Ranch did not immediately respond. New York Attorney General Letitia James called the settlement a victory for consumers, stating that the companies “manipulated the market to squeeze even more profit.” The DOJ emphasized the settlement’s role in keeping egg prices competitive.
Background on Egg Prices
Egg prices surged in early 2025, reaching a record high of $6 per dozen in March. The spike was partly attributed to a bird flu outbreak that led to the culling of 166 million egg-laying hens. The settlement follows a multiyear investigation into whether the companies exploited the crisis to artificially inflate prices.