** Shares of Fonterra FCG.NZ fall as much as 2.1% to NZ$6.02, their lowest level since March 2
** Biggest intraday pct loss since October 3, 2025
** Dairy producer settles lawsuit filed by environmental group Greenpeace, admits label on its Anchor butter was likely to mislead some shoppers
** Co claimed butter is "100% New Zealand grass-fed", but Greenpeace alleged the cows' diet included non-grass feed, including palm kernel
** Removes label from Anchor butter packaging
** About 331,000 shares traded so far, 1.4x the 30-day avg
** Stock is up 4.6% YTD, including session's moves
(Reporting by Anjali Singh in Bengaluru)
((anjali.singh2@thomsonreuters.com; ))
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