NEW YORK (CNNfn) - Building-supply retailer The Home Depot Inc. agreed Friday to pay $87.5 million to settle a class-action sex-discrimination lawsuit covering more than 25,000 women.
The chain intends to pay the women $65 million, while also covering $22.5 million in plaintiffs' legal fees.
The company also agreed pay about $17 million to implement employment programs and pay other costs related to the settlement.
Home Depot said it expects to take a one-time pre-tax charge of approximately $104 million to cover the settlement. After taxes, that breaks out to an 8-cent-per-share charge.
In addition to the monetary damages, Home Depot has agreed to improve its human-resources programs nationwide.
Plaintiffs allege that Home Depot discriminated against women in hiring, promotions, job assignments and compensation in the chain's West Coast stores.
However, Home Depot admitted no wrongdoing in settling the lawsuit, filed in 1994.
In a statement, the company said it "provides opportunities for all of its associates to develop successful professional careers and is proud of its strong track record of having successful women involved in all areas of the company."
Said Home Depot chief Arthur Blank: "These agreements ensure that the unique culture of The Home Depot -- a culture that has earned us a reputation as one of America's most admired companies -- will remain intact. We would have never agreed to enter into these agreements had our culture been jeopardized.
"We will ensure that associates continue to possess unsurpassed product knowledge and maintain their dedication to customer service and respect for their colleagues and for the communities in which they work and live," Blank said.
James Finberg, one of the plaintiffs' lead attorneys, praised the chain's decision to settle.
"This case was able to be resolved because Home Depot acted responsibly by demonstrating a willingness to take a hard look at and refine its employment practices to further ensure equal opportunities for all of its employees in its West Coast division stores," Finberg said.
Friday's agreement will become final after a court approves it.
Along with the class-action case, Friday's settlement will close three remaining gender-discrimination lawsuits pending against Home Depot.