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The U.S. Consumer Product Safety Commission (CPSC) announced today that Winter Bee Inc. of Los Angeles, Calif., has agreed to a civil penalty of $200,000. The penalty settlement (pdf), which has been accepted provisionally by the Commission, provides that Winter Bee must pay $40,000 of the $200,000 penalty. The Commission agreed to suspend $160,000 of the penalty because the firm demonstrated an inability to pay the full amount. The full amount could become due immediately if CPSC finds that Winter Bee misrepresented its financial condition. The settlement resolves CPSC staff allegations that Winter Bee knowingly failed to report to CPSC immediately, as required by federal law, that children’s hooded sweatshirts it manufactured and sold had drawstrings at the neck.