France Reports Second Baby Death Amid Tainted Formula Crisis

French authorities received a report of a second infant death, as a tainted formula crisis that’s engulfed Nestlé SA, Danone SA and Groupe Lactalis widens.

Both babies drank formula that has been recalled, the French health ministry said in a statement late Thursday. No causal link between the deaths and the affected products has been established at this point, health minister Stéphanie Rist told BFM TV Friday.

One of the babies drank Nestlé’s recalled Guigoz formula in early January, the prosecutor’s office in Bordeaux said. Tests showed that the formula didn’t contain the Bacillus Cereus bacteria, which was linked to the recall, though authorities are waiting for results for the toxin cereulide, as well as from the autopsy.

Prosecutors in Angers, in western France, are probing the death of a second baby who also drank the Nestlé formula, Agence France-Presse reported. The office didn’t immediately respond to a request for comment from Bloomberg.

“As stated by the authorities, at this stage nothing indicates any link between these tragic events and the consumption of our products,” a Nestlé spokesperson said Friday. “We are following developments with due attention and remain fully available to the authorities, cooperating with complete transparency.”

The Swiss foodmaker’s shares fell as much as 1.4%, while Danone dropped as much as 1.7%.

Nestlé has been the most affected manufacturer, with products pulled from shelves in more than 60 countries worldwide. But concerns over tainted formula deepened in recent days as Danone and Lactalis also recalled products over potential contamination.

Lactalis has recalled six batches of Picot brand infant formula in France, an issue related to an international supplier that affects 18 countries including Spain.

Danone removed one of its Dumex Dulac products at the request of Singapore’s food safety regulator, prompting the stock to plunge on Wednesday by the most in more than three decades. The Singapore Food Agency also instructed local manufacturer SMC Nutrition to stop exporting some products that used the same ingredient.

Singapore’s food agency had previously recalled five Nestlé products after the Swiss food group disclosed that several brands, including BEBA, SMA and Alfamino, and multiple production sites had been affected by the discovery of cereulide in arachidonic acid oil, an ingredient from one of its suppliers.

Photograph: A bottle of milk prepared from infant formula. Photo credit: Giulia Marchi/Bloomberg

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