11:29 AM EDT, 04/01/2024 (MT Newswires) -- 3M ( MMM ) said Monday that its multi-billion-dollar settlement to address water pollution claims by public suppliers across the US received final court approval on Friday while the industrial conglomerate completed its spinoff of the Solventum ( SOLV ) healthcare business.

The company, which announced the proposed settlement last June, has recorded an accrual of $10.3 billion, reflecting the pre-tax present value of expected payments over 13 years to support remediation of per- or poly-fluoroalkyl, or PFAS, substances in drinking water.

PFAS, which are used in industries such as aerospace, automotive, construction, and electronics, don't degrade easily in the environment. The chemicals can be present in water, soil, air and food, possibly leading to various health issues.

Payments are scheduled to begin in the third quarter of 2024, assuming there are no pending appeals of the final approval order. 3M ( MMM ) expects to pay $2.9 billion in 2024, assuming a nominal $12.5 billion settlement cap is reached.

3M ( MMM ) said last year that the settlement is not an "admission of liability." Participation from water suppliers was "overwhelming" and the US District Court in Charleston, South Carolina, resolved "the small number of objections that were raised in favor of the settlement," 3M ( MMM ) said Monday.

"The final approval of this settlement and continued progress toward exiting all PFAS manufacturing by the end of 2025 will further our efforts to reduce risk and uncertainty as we move forward," 3M ( MMM ) Chief Executive Mike Roman said in a statement.

Separately on Monday, the maker of Post-it notes and Scotch tape completed its separation of Solventum ( SOLV ), which began trading on the New York Stock Exchange. 3M ( MMM ) shareholders as of March 18 received one share of Solventum ( SOLV ) for every four shares they owned of 3M ( MMM ). Shares of Solventum ( SOLV ) dipped 2.3% in Monday trade.

"Solventum ( SOLV ) is now better positioned to create long-term value for shareholders through a greater focus on our core business, an enhanced ability to execute on industry-specific growth and market strategies and tailored capital allocation strategies," Solventum ( SOLV ) Chief Executive Bryan Hanson said in a statement.

The healthcare business has 22,000 employees and achieved sales of $8.2 billion in 2023, it said. 3M ( MMM ) retained a 19.9% stake in Solventum ( SOLV ), which 3M ( MMM ) said will be monetized within five years.

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