Paint Manufacturers Loses Suit Over Lead

A Rhode Island jury found that Sherwin-Williams Co. and two other former makers of leaded paint harmed the health of children in the state, a verdict that may cost the industry more than $1 billion in cleanup costs.

Shares of Sherwin-Williams shares plummeted $9.37 -- nearly 18% -- to $43.20. It was the stock’s steepest drop in nearly five years.

The state’s suit was one of the last remaining cases filed by a municipality or state over lead paint, which can cause brain damage and other health problems in children. Manufacturers said they had won 40 such suits since 1987.