British American Tobacco (BTI.US) subsidiary to settle Canadian tobacco lawsuit

British American Tobacco (BTI.US) said on Friday it had filed a plan with a Canadian court to resolve its tobacco litigation in Canada, where its Canadian subsidiary has been in court-supervised mediation to negotiate settlements of all its outstanding tobacco litigation in Canada. British American Tobacco's Canadian subsidiary Imperial Tobacco Canada Corp. (ITCAN) had been in court-supervised mediation to negotiate settlements of all its outstanding tobacco litigation in Canada. The unit sought bankruptcy protection in 2019 after a 2015 Quebec court decision ordered it to pay about C$15bn (US$11.88bn) to smokers in the Canadian province, hitting British American Tobacco, Philip Morris (PM.US) and Japan Tobacco International's subsidiaries. British American Tobacco said it had set aside £436m (US$5.7bn) in 2019 after the Quebec court upheld the decision. British American Tobacco said on Friday that the compromise and arrangement plan of the court-appointed mediator and supervisor had been filed with the Ontario Superior Court of Justice. ITCAN said in a statement issued by British American Tobacco: "The plan resolves all Canadian tobacco litigation and provides Imperial Tobacco, British American Tobacco and all relevant entities with a comprehensive, all-in tobacco claim." British American Tobacco did not disclose details of the plan but said the unit supported the framework and structure of the settlement. The unit said the settlement funds would come from cash on hand and cash generated from the sale of tobacco products in Canada in the future.