Walmart, Kohl's settle over 'eco-friendly' rayon products

Walmart and Kohl’s are paying a combined $5.5 million in settlements after he Federal Trade Commission said the retailers falsely marketed dozens of sheets and other home textile products as made of environmentally friendly bamboo

NEW YORK -- Walmart and Kohl's are paying a combined $5.5 million in settlements after the Federal Trade Commission said they falsely marketed dozens of sheets and other home textile products as made of environmentally friendly bamboo, when they were actually rayon.

Kohl’s agreed to pay $2.5 million and Walmart will pay $3 million in the settlements, which stemmed from an FTC complaint that also included allegations of deceptive environmental claims. The companies touted the “bamboo” textiles as being made in an ecofriendly way, the commission said Friday.

Rayon is a synthetic fiber that is made with plant cellulose, including bamboo, but the FTC noted the process “requires the use of toxic chemicals and results in hazardous pollutants.”

FTC said that both retailers have marketed some of the “bamboo-derived” products as providing general environment benefits, such as being produced “free of harmful chemicals, using clean, non-toxic materials.”