Abbott Laboratories is an American multinational medical devices and
health care company with headquarters in Abbott Park,
Illinois
Illinois ( ) is a state in the Midwestern United States. Its largest metropolitan areas include the Chicago metropolitan area, and the Metro East section, of Greater St. Louis. Other smaller metropolitan areas include, Peoria and Rockf ...
, United States. The company was founded by Chicago
physician
A physician (American English), medical practitioner (Commonwealth English), medical doctor, or simply doctor, is a health professional who practices medicine, which is concerned with promoting, maintaining or restoring health through th ...
Wallace Calvin Abbott in 1888 to formulate known drugs; today, it sells medical devices, diagnostics, branded generic medicines and nutritional products. It split off its research-based pharmaceuticals business into
AbbVie
AbbVie is an American publicly traded biopharmaceutical company founded in 2013. It originated as a spin-off of Abbott Laboratories.
History
On October 19, 2011, Abbott Laboratories announced its plan to separate into two publicly traded compani ...
in 2013. The firm has also been present in India for over 100 years through its subsidiary Abbott India Limited, and it is currently India's largest healthcare products company.
Among its well-known products across the medical devices, diagnostics, and nutrition product divisions are
Pedialyte
Pedialyte is an oral electrolyte solution manufactured by Abbott Laboratories and marketed for use in children. It was invented by Dr. Gary Cohen of Swampscott, Massachusetts.
Description
Pedialyte is designed to promote rehydration and elect ...
,
Similac
Similac (for "similar to lactation") is a brand of infant formula that was developed by Alfred Bosworth of Tufts University and marketed by Abbott Laboratories. It was first released in the late 1920s, and then reformulated and concentrated in 19 ...
,
BinaxNOW,
Ensure
Ensure is an American brand of nutritional supplements and meal replacements manufactured by Abbott Laboratories.
A 237-ml (8-fl oz) bottle of Ensure Original contains 220 calories, six grams of fat, 15 grams of sugar, and nine grams of pro ...
,
Glucerna Glucerna is the brand name of a family of tube feeding formula, bottled or canned shakes, and snack bars manufactured by Abbott Laboratories. It was introduced to the public in 1989. These medical nutritional products are meant for people with dia ...
,
ZonePerfect, FreeStyle Libre, i-STAT and
MitraClip
MitraClip (mitral clip) is a medical device used to treat mitral valve regurgitation for individuals who should not have open-heart surgery. It is implanted via a tri-axial transcatheter technique and involves suturing together the anterior and po ...
.
History
Foundation and early history
In 1888 at the age of 30, Wallace Abbott (1857–1921), an 1885 graduate of the
University of Michigan
, mottoeng = "Arts, Knowledge, Truth"
, former_names = Catholepistemiad, or University of Michigania (1817–1821)
, budget = $10.3 billion (2021)
, endowment = $17 billion (2021)As o ...
, founded the Abbott Alkaloidal Company in
Ravenswood, Chicago
Ravenswood is a neighborhood located on the North Side of the city of Chicago, Illinois. Lacking designation as one of Chicago's 77 well-defined community areas, it is mostly situated in the Lincoln Square community area, with the portion east ...
. At the time, he was a practicing physician and owned a drug store. His innovation was the use of the active part of a
medicinal plant
Medicinal plants, also called medicinal herbs, have been discovered and used in traditional medicine practices since prehistoric times. Plants synthesize hundreds of chemical compounds for various functions, including defense and protection ag ...
, generally an
alkaloid
Alkaloids are a class of basic, naturally occurring organic compounds that contain at least one nitrogen atom. This group also includes some related compounds with neutral and even weakly acidic properties. Some synthetic compounds of similar ...
(e.g.,
morphine
Morphine is a strong opiate that is found naturally in opium, a dark brown resin in poppies (''Papaver somniferum''). It is mainly used as a pain medication, and is also commonly used recreationally, or to make other illicit opioids. T ...
,
quinine
Quinine is a medication used to treat malaria and babesiosis. This includes the treatment of malaria due to '' Plasmodium falciparum'' that is resistant to chloroquine when artesunate is not available. While sometimes used for nocturnal le ...
,
strychnine and
codeine), which he formed into tiny "dosimetric granules". This approach was successful since it produced more consistent and effective dosages for patients. In 1922, the company moved from Ravenswood to
North Chicago, Illinois.
International expansion
Abbott's first international affiliate was in London in 1907; the company later added an affiliate in Montreal, Canada. Abbott India Ltd was originally incorporated on August 22, 1944, as Boots Pure Drug Company (India) Ltd. The company name was changed to The Boots Company (India) Ltd on November 1, 1971, and to Boots Pharmaceuticals Ltd on January 1, 1991. On October 31, 1995, the name was changed to Knoll Pharmaceuticals Ltd and on July 1, 2002, to their present name Abbott India Ltd.I Abbott started operations in Pakistan as a marketing affiliate in 1948; the company has steadily expanded to comprise a work force of over 1500 employees. Currently, two manufacturing facilities located at Landhi and Korangi in
Karachi
Karachi (; ur, ; ; ) is the most populous city in Pakistan and 12th most populous city in the world, with a population of over 20 million. It is situated at the southern tip of the country along the Arabian Sea coast. It is the former c ...
continue to produce pharmaceutical products. In 1962 Abbott entered into a joint venture with Dainippon Pharmaceutical Co., Ltd., of Osaka, Japan, to manufacture radio-pharmaceuticals. In 1964, it merged with Ross Laboratories, making Ross a wholly owned subsidiary of Abbott, and Richard Ross gained a seat on Abbott's board of directors until his retirement in 1983. The acquisition of Ross brought Similac under the Abbott umbrella. In the years following the acquisition, Pedialyte and Ensure were introduced as nutritional products by Ross Laboratories while under Abbott's leadership.
In 1965, Abbott's expansion in Europe continued with offices in Italy and France.
According to Harvard professor
Lester Grinspoon
Lester Grinspoon (June 24, 1928 – June 25, 2020) was an American psychiatrist and long-standing associate professor of psychiatry at Harvard Medical School best known for his groundbreaking works on the science and social policy of canna ...
and Peter Hedblom, "In 1966 Abbott Laboratories sold the equivalent of two million doses of methamphetamine in powder form to a Long Island criminal dealer".
21st century
In 2001, the company acquired Knoll, the pharmaceutical division of
BASF
BASF SE () is a German multinational chemical company and the largest chemical producer in the world. Its headquarters is located in Ludwigshafen, Germany.
The BASF Group comprises subsidiaries and joint ventures in more than 80 countries ...
. In 2002, it divested the
Selsun Blue brand to
Chattem
Chattem, Inc. is an American, Chattanooga, Tennessee-based, producer and marketer of over-the-counter healthcare products, toiletries, dietary supplements, topical analgesics, and medicated skin care products. Originally named the Chattanooga Me ...
. Later in 2002, it sold
Clear Eyes
Naphazoline is a medicine used as a decongestant, and a vasoconstrictor added to eye drops to relieve red eye. It has a rapid action in reducing swelling when applied to mucous membranes. It is a sympathomimetic agent with marked alpha adrenerg ...
and
Murine
The Old World rats and mice, part of the subfamily Murinae in the family Muridae, comprise at least 519 species. Members of this subfamily are called murines. In terms of species richness, this subfamily is larger than all mammal families ex ...
to
Prestige Brands
Prestige Consumer Healthcare Inc. (formerly Prestige Brands, Inc.) is an American company that markets and distributes over-the-counter healthcare and household cleaning products. It was formed by the merger of Medtech Products, Inc., Prestige B ...
. In 2004, it acquired TheraSense, a
diabetes
Diabetes, also known as diabetes mellitus, is a group of metabolic disorders characterized by a high blood sugar level ( hyperglycemia) over a prolonged period of time. Symptoms often include frequent urination, increased thirst and increased ...
-care company, which it merged with its MediSense division to become Abbott Diabetes Care. In 2006, Abbott assisted
Boston Scientific
Boston Scientific Corporation ("BSC"), incorporated in Delaware, is a biomedical/biotechnology engineering firm and multinational manufacturer of medical devices used in interventional medical specialties, including interventional radiology, i ...
in its purchase of
Guidant
Guidant Corporation, part of Boston Scientific and Abbott Labs, designs and manufactures artificial cardiac pacemakers, implantable cardioverter-defibrillators, stents, and other cardiovascular medical products. Their company headquarters is lo ...
Corporation purchasing the vascular device division of Guidant.
In 2007, Abbott acquired Kos Pharmaceuticals for $3.7 billion in cash. At the time of acquisition, Kos marketed
Niaspan, which raises levels of "good", or HDL, cholesterol and
Advicor, a Niaspan combination drug for patients with multiple lipid disorders.
In January 2007, the company agreed to sell its ''in vitro'' diagnostics and Point-of-Care diagnostics divisions to
General Electric
General Electric Company (GE) is an American multinational conglomerate founded in 1892, and incorporated in New York state and headquartered in Boston. The company operated in sectors including healthcare, aviation, power, renewable en ...
for more than $8 billion, to be integrated into the
GE Healthcare
GE HealthCare is a subsidiary of American multinational conglomerate General Electric incorporated in New York and headquartered in Chicago, Illinois. As of 2017, it is a manufacturer and distributor of diagnostic imaging agents and radiopharma ...
business unit. The transaction was approved by the boards of directors of Abbott and GE and was targeted to close in the first half of 2007. However, on 11 July 2007, Abbott announced that it had terminated its agreement with GE because the parties could not agree on the terms of the deal.
On 8 September 2007, the company completed the sale of the UK manufacturing plant at
Queenborough
Queenborough is a town on the Isle of Sheppey in the Swale borough of Kent in South East England.
Queenborough is south of Sheerness. It grew as a port near the Thames Estuary at the westward entrance to the Swale where it joins the R ...
to Aesica Pharmaceuticals, a private equity-owned UK manufacturer.
In November 2007, Abbott announced that Ross Products would be renamed Abbott Nutrition.
On 26 February 2009, the company completed its acquisition of
Advanced Medical Optics based in
Santa Ana, California. It sold this business to
Johnson & Johnson in February 2017. In 2009, Abbott opened a satellite research and development facility at
Research Park, University of Illinois at Urbana-Champaign
Research Park at the University of Illinois Urbana-Champaign is a research park located in the southwest part of the University of Illinois Urbana-Champaign campus in Champaign, Illinois. Research Park is a technology hub for startup companies an ...
.
In February 2010, Abbott completed its $6.2 billion (EUR 4.5 billion) acquisition of the pharmaceuticals unit of
Solvay S.A.
Solvay is a Belgian multinational chemical company established in 1863, with its headquarters located in Neder-Over-Heembeek, Brussels, Belgium.
In 2015, it realized €12.4 billion in revenues, €2.336 billion of EBITDA, 43% of its sales in ...
This provided Abbott with a large complementary portfolio of pharmaceutical products and also expanded its presence in key emerging markets.
On 22 March 2010, the company completed its acquisition of a
Hollywood, Florida-based
laboratory information management system
A laboratory information management system (LIMS), sometimes referred to as a laboratory information system (LIS) or laboratory management system (LMS), is a software-based solution with features that support a modern laboratory's operations. K ...
company
STARLIMS. Under the terms of the deal, Abbott acquired the company for $14 per share in an all-cash transaction valued at $123 million. On 21 May 2010, Abbott said it would buy Piramal Healthcare Ltd.'s Healthcare Solutions unit for $2.2 billion, thus becoming the biggest drug company in India.
Spin-offs
In 2004, Abbott spun off its hospital products division into a new 14,000 employee company,
Hospira
Hospira was an American global pharmaceutical and medical device company with headquarters in Lake Forest, Illinois. It had approximately 19,000 employees. Before its acquisition by Pfizer, Hospira was the world's largest producer of generic inj ...
. Hospira was later acquired by
Pfizer
Pfizer Inc. ( ) is an American multinational pharmaceutical and biotechnology corporation headquartered on 42nd Street in Manhattan, New York City. The company was established in 1849 in New York by two German entrepreneurs, Charles Pfizer ...
in 2015.
In October 2011, Abbott planned to separate into two companies, one for research-based pharmaceuticals and the other for medical devices, generic drugs sold internationally, and diagnostics, with the latter retaining the Abbott name. Abbott Nutrition, whose products include Similac, Pedialyte, Glucerna, and Ensure, also retained the Abbott name.
In March 2012, the company announced that the spun-off research-based pharmaceuticals company would be named
AbbVie
AbbVie is an American publicly traded biopharmaceutical company founded in 2013. It originated as a spin-off of Abbott Laboratories.
History
On October 19, 2011, Abbott Laboratories announced its plan to separate into two publicly traded compani ...
.
In preparation for the reorganization, Abbott made severe budget cuts and took a $478 million charge in Q3-2012 to pay for the restructuring.
The separation was effective as of 1 January 2013 and AbbVie was officially listed in the
New York Stock Exchange
The New York Stock Exchange (NYSE, nicknamed "The Big Board") is an American stock exchange in the Financial District of Lower Manhattan in New York City. It is by far the world's largest stock exchange by market capitalization of its listed ...
on 2 January 2013.
Further developments
On 16 May 2014, it was announced that Abbott would acquire the
holding company
A holding company is a company whose primary business is holding a controlling interest in the securities of other companies. A holding company usually does not produce goods or services itself. Its purpose is to own shares of other companies ...
Kalo Pharma Internacional S.L. for $2.9 billion in order to secure the 73% it held of Chilean pharmaceutical company,
CFR Pharmaceuticals, which the company said would more than double its branded generic drug portfolio.
In December 2014, the company acquired Russian pharmaceutical manufacturer Veropharm (
Voronezh
Voronezh ( rus, links=no, Воро́неж, p=vɐˈronʲɪʂ}) is a city and the administrative centre of Voronezh Oblast in southwestern Russia straddling the Voronezh River, located from where it flows into the Don River. The city sits on ...
) in a deal worth $410 million, which included three manufacturing facilities.
Abbott, which already employed 1,400 people in Russia, said it planned to set up a manufacturing presence in the country when the deal closed.
In September 2015, the company announced it had completed its acquisition of Tendyne Holdings, Inc., a private medical device company focused on developing minimally invasive mitral valve replacement therapies.
Tendyne was acquired for a total transaction value of $250 million.
In January 2020, the Tendyne Mitral Valve became the world's first commercially available solution for Mitral Valve Replacement Technology. Abbott obtained CE Mark for the device which now makes it possible to implant it in Europe outside of a clinical setting. The US clinical study for federal approval is still ongoing.
In February 2016, the company announced it would acquire
Alere
Alere Inc. was a global manufacturer of rapid point-of-care diagnostic tests. The company was founded in 1991 and was headquartered in Waltham, Massachusetts. As of January 2017, the company had a market capitalization of $3.47 billion with an e ...
for $5.8 billion. In January 2017, Abbott announced it would acquire
St. Jude Medical for $25 billion (each share receiving $46.75 in cash & 0.8708 shares of Abbott common stock, equating to an approximate value of $85).
On 3 October 2017, the company closed the Alere acquisition making the surviving entity the market leader player in the $7 billion point-of-care diagnostic space within the broader $50 billion in-vitro diagnostics market with this takeover. With the acquisition of Alere, the company also obtained the subsidiary Arriva Medical, which is the largest mail-order diabetic supplier. Arriva Medical announced business closure after Abbott acquisition effective 31 December 2017.
In 2017, the FDA approved Abbott's FreeStyle Libre glucose monitoring system, which reads glucose levels through a self-applied sensor without finger pricks.
In August 2018, Reuters reported that Abbott Laboratories was among the top five companies for branded generic drugs in Russia.
![ID Now testing (51038387158)](https://upload.wikimedia.org/wikipedia/commons/c/c0/ID_Now_testing_%2851038387158%29.jpg)
In November 2018, Abbott received United States FDA clearance for FreeStyle LibreLink, a glucose reader
smartphone app
A mobile application or app is a computer program or software application designed to run on a mobile device such as a phone, tablet, or watch. Mobile applications often stand in contrast to desktop applications which are designed to run on des ...
.
In January 2019 purchased Cephea Valve Technologies, Inc. which is developing a less-invasive replacement heart valve for people with mitral valve disease.
In March 2020, Abbott received
emergency use authorization
An Emergency Use Authorization (EUA) in the United States is an authorization granted to the Food and Drug Administration (FDA) under sections of the Federal Food, Drug, and Cosmetic Act as added to and amended by various Acts of Congress, includ ...
(EUA) from the US FDA for a
SARS-CoV-2
Severe acute respiratory syndrome coronavirus 2 (SARS‑CoV‑2) is a strain of coronavirus that causes COVID-19 (coronavirus disease 2019), the respiratory illness responsible for the ongoing COVID-19 pandemic. The virus previously had a ...
test during the
COVID-19 pandemic
The COVID-19 pandemic, also known as the coronavirus pandemic, is an ongoing global pandemic of coronavirus disease 2019 (COVID-19) caused by severe acute respiratory syndrome coronavirus 2 (SARS-CoV-2). The novel virus was first identi ...
. The tester is small (comparable to a small toaster), and produces results within 13 minutes. Detroit received these tests on April 1, 2020. Also in March, the firm received EUA for a molecular COVID-19 test that runs on its m2000 RealTime lab-based platform. In April 2020, itt received EUA from the FDA for its third COVID-19 test, an antibody test that helps detect the IgG antibody to SARS-CoV-2 using the company's ARCHITECT laboratory instruments.
In May 2020, it received EUA from the FDA for another lab-based COVID-19 antibody test that helps detect the IgG antibody to SARS-CoV-2 using the company's Alinity i system.
Also in May, it received EUA from the FDA for a molecular COVID-19 test for use on the company's Alinity molecular laboratory instrument.
In August 2020, Abbott received EUA from the FDA for its credit-card-sized $5, 15-minute, portable COVID-19 antigen test, BinaxNOW, compatible with the NAVICA mobile app.
In October 2020, Abbott received EUA from the FDA for its lab-based COVID-19 IgM antibody blood test.
In December 2020, its rapid (20') antigen BinaxNOW COVID-19 test received EUA from the FDA for home use.
''Forbes'' reported in January 2021 that the firm had delivered more than 400 million COVID-19 tests, 300 million in the fourth quarter of 2020.
Today, Abbott operates in over 160 countries.
In September 2021 Abbott acquired Walk Vascular, LLC.
Acquisition history
*Abbott Laboratories
(Est. 1885, Abbott Alkaloidal Company)
**Ross Laboratories
(Acq 1964)
**SmithKline Beecham
(Acq 1982, later sold)
**
Knoll
In geography, knoll is another term for a knowe or hillock, a small, low, round natural hill or mound.
Knoll may also refer to:
Places
* Knoll Camp, site of an Iron Age hill fort Hampshire, England, United Kingdom
* Knoll Lake, Leonard Canyon, A ...
(Acq 2001)
**
Selsun Blue (Sold to Chattem
Chattem, Inc. is an American, Chattanooga, Tennessee-based, producer and marketer of over-the-counter healthcare products, toiletries, dietary supplements, topical analgesics, and medicated skin care products. Originally named the Chattanooga Me ...
2002)
**Murine
(Sold to Prestige Brands
Prestige Consumer Healthcare Inc. (formerly Prestige Brands, Inc.) is an American company that markets and distributes over-the-counter healthcare and household cleaning products. It was formed by the merger of Medtech Products, Inc., Prestige B ...
2002)
**Clear Eyes
(Sold to Prestige Brands
Prestige Consumer Healthcare Inc. (formerly Prestige Brands, Inc.) is an American company that markets and distributes over-the-counter healthcare and household cleaning products. It was formed by the merger of Medtech Products, Inc., Prestige B ...
2002)
**i-STAT
(Acq 2004)
**TheraSense
(Acq 2004)
**
Guidant (vascular device division) (Acq 2006)
***IntraLase Corp
(Acq 2007)
**
Advanced Medical Optics (Acq 2009)
**Solvay Pharmaceuticals
(Acq 2010)
**
STARLIMS (Acq 2010)
***Lab Data Management Ltd
(Acq 2008)
**IDEV Technologies
(Acq 2013)
**OptiMedica Corporation
(Acq 2013)
**Veropharm
(Acq 2014)
**Topera, Inc
(Acq 2014)
**Kalo Pharma Internacional S.L.
(Acq 2014)
***
CFR Pharmaceuticals
**
Tendyne Holdings Inc. (Acq 2015)
**
Alere
Alere Inc. was a global manufacturer of rapid point-of-care diagnostic tests. The company was founded in 1991 and was headquartered in Waltham, Massachusetts. As of January 2017, the company had a market capitalization of $3.47 billion with an e ...
(Acq 2016)
***Epocal, Inc.
(Acq 2013)
***Arriva Medical
(Acq 2012)
**
St. Jude Medical (Est 1976, Acq 2016)
***Pacesetter, Inc.
(Acq 1994)
***Daig Corporation
(Acq 1996)
***Heart Valve Company
(Acq 1996)
***Biocor Industria
(Acq 1996)
***Ventritex
(Acq 1997)
***
Tyco International (Angio-Seal division) (Acq 1999)
***Endocardial Solutions
(Acq 2005)
***Advanced Neuromodulation Systems
(Acq 2005)
***MediGuide
(Acq 2008)
***AGA Medical
(Acq 2010)
***LightLab Imaging
(Acq 2010)
***Nanostim Inc
(Acq 2013)
***Endosense
(Acq 2013)
***CardioMEMS Inc.
(Acq 2014)
***Spinal Modulation
(Acq 2015)
***
Thoratec Corporation
Thoratec Corporation is a United States-based company that develops, manufactures, and markets proprietary medical devices used for mechanical circulatory support for the treatment of heart-failure patients worldwide. It is a global leader in mech ...
(Acq 2015)
****Apica Cardiovascular Limited
(Acq 2014)
****Levitronix (Medical division)
(Acq 2011)
****
Getinge Group (Heat pump technology division) (Acq 2014)
****Thermo Cardiosystems
(Acq 2010)
**Cephea Valve Technologies, Inc.
(Acq 2019)
**Walk Vascular, LLC
(Acq 2021)
Finances
Accounts
For the fiscal year 2021, Abbott Laboratories reported earnings of US$7.071 billion, with an annual revenue of US$43.075 billion, which grew 24.5% on an organic basis versus the year prior. Abbott's year-end 2021 stock price was $140.74.
Taxation
On 19 March 2019, it was reported that Abbott was a long-term user of the
Double Irish
The Double Irish arrangement was a base erosion and profit shifting (BEPS) corporate tax avoidance tool used mostly by United States multinationals since the late 1980s to avoid corporate taxation on non-U.S. profits. It was the largest tax ...
tax structure, a legal but controversial Irish taxation tool used by U.S. multinationals to reduce U.S. corporate taxes on non-U.S profits.
Abbott's Irish holding company, the Bermuda-resident Abbott Laboratories Vascular Enterprises (ALVE), employed no staff in 2017, but was responsible for distributing Abbot's products and licensing its technology worldwide.
Newly filed accounts showed that ALVE was incorporated in 2003 and had a pre-tax profit of €2 billion in 2016 and 2017 on revenues of €5.2 billion; no taxation was paid on these profits.
ALVE had never filed accounts in Ireland since 2003 as it was structured as an
unlimited liability company
An unlimited company or private unlimited company is a hybrid company (corporation) incorporated with or without a share capital (and similar to its limited company counterpart) but where the legal liability of the members or shareholders is not ...
(ULC); however, new EU accounts directives required ALVE to file Irish accounts in 2018.
These accounts listed ALVE's registered office as the address of Ireland's largest tax-law firm,
Matheson, who have been identified with Double Irish tax structures for Microsoft and Google.
In September 2021, the ''
Irish Times
''The Irish Times'' is an Irish daily broadsheet newspaper and online digital publication. It launched on 29 March 1859. The editor is Ruadhán Mac Cormaic. It is published every day except Sundays. ''The Irish Times'' is considered a newspaper ...
'' reported that Abbott was using the
Single Malt tax tool to shield profits on its
COVID-19 testing kits.
Operations
Organization
![FreeStyle libre am Oberarm und Auslesegerät-1](https://upload.wikimedia.org/wikipedia/commons/3/39/FreeStyle_libre_am_Oberarm_und_Ausleseger%C3%A4t-1.JPG)
Abbott's core businesses focus on diagnostics, medical devices, branded generic medicines and nutritional products, which have been supplemented through acquisitions.
, the firm's divisions are:
* Nutrition:
Pediatric nutrition (e.g.,
Similac
Similac (for "similar to lactation") is a brand of infant formula that was developed by Alfred Bosworth of Tufts University and marketed by Abbott Laboratories. It was first released in the late 1920s, and then reformulated and concentrated in 19 ...
, Isomil, and Gain), Adult Nutrition (e.g.,
Ensure
Ensure is an American brand of nutritional supplements and meal replacements manufactured by Abbott Laboratories.
A 237-ml (8-fl oz) bottle of Ensure Original contains 220 calories, six grams of fat, 15 grams of sugar, and nine grams of pro ...
and
ZonePerfect) and special dietary needs (e.g.,
Glucerna Glucerna is the brand name of a family of tube feeding formula, bottled or canned shakes, and snack bars manufactured by Abbott Laboratories. It was introduced to the public in 1989. These medical nutritional products are meant for people with dia ...
and
Juven
Juven is a medical food that is manufactured by Abbott Laboratories and used to provide nutritional support under the care of a physician in individuals with muscle wasting due to AIDS or cancer, to promote wound healing following surgery or inju ...
)
* Diagnostics:
core lab, molecular, point of care, rapid diagnostics and Informatics
* Medical devices: rhythm management, electrophysiology, heart failure, structural heart, neuromodulation, diabetes care
* Established Pharmaceuticals:
[ branded generic drugs sold exclusively in developing markets
]
Management
Miles D. White is the executive chairman of Abbott.[ He joined the firm in 1984, serving in management positions including senior vice president of diagnostic operations, executive vice president, and long-time CEO. He was elected to the board of directors in April 1998, to chief executive officer in 1998, and to chairman of the board in April 1999.
In November 2019, White announced that he was stepping down as CEO after 21 years. At the end of March 2020, Robert B. Ford, a long-time Abbott executive, took over as president and chief executive officer. Ford joined Abbott in 1996, serving in various management positions including executive vice president of the company's medical device business. White remains the company's executive chairman.
]
Recognition
Abbott was ranked 89th on the Fortune 500 list of largest US-based corporations in 2021. ''Fortune'' also named Abbott as one of its Top 50 World's Most Admired Companies in 2021, among its Blue Ribbon companies again in 2021, to its Change the World list in 2020, and among its Best Big Companies to Work For in 2021.
The company has been listed on ''Working Mother'' magazine's "100 Best Companies" list for 20 years in a row, named a top company by the National Association for Female Executives The National Association for Female Executives (NAFE), is a division of the Working Mother Media, based in New York City. Established in 1972, NAFE is an organization of businesswomen in the United States. It offers education, training, skills deve ...
for 12 consecutive years, and included on “Science” magazine's Top 20 Employees list 17 times, most recently in 2020. The company has also been recognized as a top company by ''DiversityInc'' for diversity within the company for 18 consecutive years (2004-2021) and has been included on the Dow Jones Sustainability Index for eight consecutive years.
Products
Nutrition
Pediatric nutrition products manufactured by Abbott Laboratories include:
* Similac
* Pedialyte
* PediaSure
Adult nutrition products manufactured by Abbott Laboratories include:
* Ensure
* Glucerna (Ensure Diabetes Care in India)
* Juven
* ZonePerfect
Diagnostics
Diagnostics products manufactured by Abbott include:
* i-STAT (While intended for a human audience, the point of care analyzers also demonstrate utility for the veterinary profession and are marketed by Abaxis.)
* Alinity
* Architect
* BinaxNOW
Medical devices
* FreeStyle Libre
Cardiovascular devices manufactured by Abbott Laboratories include:
* MitraClip
* Confirm Rx
* Amplatzer Piccolo Occluder
* Heartmate
* Xience
* CARDIOMEMS
* Gallant ICD
* CentriMag
Neuromodulation devices manufactured by Abbott Laboratories include:
* BurstDR Technology
* Proclaim DRG Neurostimulation System
* Infinity Deep Brain Stimulation System
Litigation and Controversies
Humira
In March 2003, British company Cambridge Antibody Technology (CAT) stated its wish to "initiate discussions regarding the applicability of the royalty offset provisions for Humira" (Adalimumab
Adalimumab, sold under the brand name Humira, among others, is a monoclonal antibody used to treat rheumatoid arthritis, psoriatic arthritis, ankylosing spondylitis, Crohn's disease, ulcerative colitis, plaque psoriasis, hidradenitis suppurati ...
) with Abbott Laboratories in the High Court of London. In December 2004, the judgment ruled for CAT.
Abbott was required to pay CAT US$255 million, some of which was to be passed to its partners in development. Of this sum, the Medical Research Council (MRC) of the United Kingdom received US$191 million, and in addition, Abbott was asked to pay the MRC a further $7.5 million over five years from 2006 providing that Humira remains on the market.
Depakote
On 2 October 2012, the company was charged with a $500 million fine and $198.5 million forfeiture for illegal marketing of Depakote for uses not approved by the FDA. The court also ordered Abbott to a five-year term of probation and court supervision.[Abbott Labs to Pay $1.5 Billion to Resolve Criminal & Civil Investigations of Off-label Promotion of Depakote](_blank)
Press Release, United States Department of Justice
The United States Department of Justice (DOJ), also known as the Justice Department, is a federal executive department of the United States government tasked with the enforcement of federal law and administration of justice in the United Stat ...
Office of Public Affairs, 7 May 2012. Retrieved 17 August 2014. Shareholders then brought derivative suits against the company directors for breach of fiduciary duty. Following Abbott's spinoff of its research-based pharmaceuticals business, it no longer owns the commercial rights and associated responsibilities for Humira and Depakote.
Glucose Monitors
In 2021, two of Abbott Laboratories' subsidiaries, Arriva Medical LLC and Alere Inc, had to pay $160M to resolve claims that they had fraudulently billed Medicare for glucose monitors. Supposedly, Arriva used free glucose monitors to entice patients into placing more orders, then took kickbacks on the increased sales. The company was also accused of charging Medicare for glucose monitors given to ineligible patients, including patients who were dead.
Leuprorelin
In October 2001, the US Department of Justice, states attorneys general, and TAP Pharmaceutical Products, a subsidiary of Abbott Laboratories, settled criminal and civil charges against TAP related to federal and state medicare fraud In the United States, Medicare fraud is the claiming of Medicare health care reimbursement to which the claimant is not entitled. There are many different types of Medicare fraud, all of which have the same goal: to collect money from the Medicare ...
and illegal marketing of the drug leuprorelin
Leuprorelin, also known as leuprolide, is a manufactured version of a hormone used to treat prostate cancer, breast cancer, endometriosis, uterine fibroids, as part of transgender hormone therapy, for early puberty, or to perform chemical cas ...
. TAP paid a total of $875 million, which was a record high at the time. The $875 million settlement broke down to $290 million for violating the Prescription Drug Marketing Act, $559.5 million to settle federal fraud charges for overcharging Medicare, and $25.5 million reimbursement to 50 states and Washington, D.C., for filing false claims with the states' Medicaid programs. The case arose under the False Claims Act
The False Claims Act (FCA), also called the "Lincoln Law", is an American federal law that imposes liability on persons and companies (typically federal contractors) who defraud governmental programs. It is the federal government's primary litigat ...
with claims filed by Douglas Durand, a former TAP vice president of sales, and Joseph Gerstein, a doctor at Tufts University
Tufts University is a private research university on the border of Medford and Somerville, Massachusetts. It was founded in 1852 as Tufts College by Christian universalists who sought to provide a nonsectarian institution of higher learning. ...
's HMO practice. Durand, Gerstein, and Tufts shared $95 million of the settlement.
There have since been various suits concerning leuprorelin use, none successful. They either concern the oversubscription of the drug or undue warning about the side effects. Between 2010 and 2013, the FDA updated the Lupron drug label to include new safety information on the risk of thromboembolism, loss of bone density and convulsions. The FDA then asserted that the benefits of leuprorelin outweigh its risks when used according to its approved labeling. Since 2017, the FDA has been evaluating leuprorelin's connection to pain and discomfort in musculoskeletal and connective tissue.
Operation Headwaters
In October 2003, Abbott Laboratories and two of its units agreed to pay a total of $600 million in the first combined civil settlement and criminal conviction for offering kickbacks to agents of "Operations Headwaters", an undercover investigation by the FBI.
Plant Shutdown
In February 2022, Abbott recalled baby formulas from the market and shutdown their Michigan plant. This is after complaints of infants being sick with serious bacterial infections while consuming formula product made at the Sturgis plant. The recall caused a nationwide shortage of formula milk with at least 73% of baby products out of stock according to data firm Datasembly. In a recent development and with Abbotts' meeting the initial requirement of the U.S. Food & Drug Administration, the facility could start operation and begin production of other special and metabolic formulas in 2–3 weeks time.
Sponsorship
Since 2015, Abbott has been the title sponsor of the World Marathon Majors
The World Marathon Majors (WMM) (known for sponsorship reasons as the Abbott World Marathon Majors) is a championship-style competition for marathon runners that started in 2006. A points-based competition founded on six major marathon races reco ...
.
See also
* List of Illinois companies
* List of largest biomedical companies by market capitalization
The following is a list of independent pharmaceutical, biotechnology and medical companies listed on a stock exchange (as indicated) with current market capitalization of at least US$10 billion, ranked by their market capitalization.
It does not i ...
* List of pharmaceutical companies
This listing is limited to those independent companies and subsidiaries notable enough to have their own articles in Wikipedia. Both going concerns and defunct firms are included, as well as firms that were part of the pharmaceutical industry ...
* Clara Abbott
* 2022 United States infant formula shortage
Notes and references
External links
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1888 establishments in Illinois
1920s initial public offerings
Biotechnology companies of the United States
Companies based in Lake County, Illinois
Pharmaceutical companies established in 1888
American companies established in 1888
Companies listed on the New York Stock Exchange
Multinational companies headquartered in the United States
Multinational health care companies
Lake Bluff, Illinois
Pharmaceutical companies of the United States
Veterinary medicine companies
Life sciences industry
Veterinary medicine in the United States