Egg Producers Agree to Give Away 53 Million Eggs and Pay $3.3 Million to Resolve Price-Manipulation Allegations

Egg prices hit $6.23 a dozen last year. Now the companies accused of helping cause that spike are paying for it. The U.S. Justice Department and 17 states announced settlements this week with Cal-Maine Foods, Versova and Hickman’s Egg Ranch, resolving claims the producers secretly coordinated to inflate prices between June 2022 and March 2025.

This article was created with the assistance of AI and reviewed by our editorial team for accuracy and clarity.

Investigators Say Companies Colluded for Nearly Three Years

The complaint, filed Monday in Iowa, accuses the three producers of running a coordinated scheme to artificially raise egg prices. Investigators say the arrangement ran from June 2022 through March 2025, a stretch that included the worst bird flu outbreak in decades. According to the filing, the companies didn’t compete independently during that window. Instead, they worked together behind the scenes to control what the market paid.

The Scheme Targeted a Single Pricing Index

At the center of the allegations is Urner Barry Publications, a company whose index determines how much grocery stores, restaurants and distributors pay for billions of eggs annually. Investigators say Cal-Maine, Versova and Hickman’s coordinated the bids they submitted to Urner Barry, effectively rigging the number that ripples through the entire supply chain. That number, the complaint alleges, translated directly into higher prices for shoppers.

New York’s Attorney General Calls It a Squeeze on Families

“When powerful corporations collude behind the scenes to raise prices, working families suffer the costs,” said New York Attorney General Letitia James, who helped lead the multistate investigation. James accused the producers of manipulating the market to extract extra profit from consumers and businesses already struggling with grocery bills. Her office was one of 17 state attorneys general who joined the Justice Department in building the case.

No Admission of Guilt, But Millions on the Table

None of the three companies admitted wrongdoing as part of the settlements. Still, the terms require real money and real product. Combined, Cal-Maine, Versova and Hickman’s will pay $3.3 million, with the funds distributed among the settling states. They’ll also donate 53 million eggs, which will be routed to food banks and nonprofits. Court approval is still required before the deal takes effect.

Cal-Maine’s Bill Dwarfs Its Two Co-Defendants

The financial breakdown isn’t even. Cal-Maine, the largest and only publicly traded of the three, will pay $1.5 million and donate 30 million eggs. Versova will contribute $800,000 and 20 million eggs. Hickman’s, the smallest producer named, is on the hook for $1 million and 3.25 million eggs. The gap roughly tracks each company’s size and market share during the period under investigation.

DOJ Official Says Deal Ends Years of Financial Strain on Americans

Beyond the payouts, the companies must adopt antitrust compliance programs and stop communicating with competitors about pricing and bidding. The Justice Department’s Omeed A. Assefi said Tuesday the proposed settlements “resolve years of conduct that dragged on Americans’ finances and their everyday lives.” The complaint notes that price quotations dropped sharply once the companies learned of the investigation and were told to preserve records in March 2025.

Prices Fell From $6.23 to Under $2.20 a Dozen

Average U.S. egg prices peaked near $6.23 a dozen in March 2025, driven by a bird flu epidemic that wiped out millions of egg-laying hens. Producers pointed to the outbreak as the cause. Critics argued big companies were exploiting their dominance to pad profits, prompting the government probe. By May 2026, as flocks recovered, average prices had fallen to under $2.20 a dozen.

Cal-Maine’s CEO Says Allegations Are “Baseless”

Cal-Maine called the price manipulation claims baseless and said it left the industry cooperative in May 2024. CEO Sherman Miller said the settlement “enables us to move forward” and pointed to the pandemic, weather and avian flu as factors behind the price swings, not collusion. Versova echoed the sentiment, noting its farmers “don’t set the wholesale price of eggs,” which it says is tied to grain feed costs. Hickman’s owner, Mantiqueira USA, said the conduct predates its November acquisition.

Farm Action Calls the Settlement a Cost of Doing Business

Not everyone considers the deal accountability. Cal-Maine alone reported a $1.22 billion profit for fiscal 2025, dwarfing the $1.5 million it agreed to pay. Farm Action president Angela Huffman argued that consumers paid record prices while producers posted massive profits, calling the outcome something corporations can absorb rather than a real deterrent. For critics, the settlement closes a legal case without closing the gap between what companies made and what they owe.