November 1, 2003

1 Min Read
Abbott to Spin Off Hospital Products Business

Originally Published MX November/December 2003

BUSINESS NEWS

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Begley

Abbott Laboratories (Abbott Park, IL) has announced plans to create a new hospital products company with estimated worldwide sales of $2.5 billion. The company will be spun off from Abbott's core global hospital products business.

The move will enable Abbott to focus on higher-growth segments of its medical products and pharmaceutical groups, as well as its proprietary technologies. Abbott's medical products group previously encompassed three business segments, including Ross nutritionals, diagnostics, and hospital products.

"With enhanced strategic, financial, and operational flexibility, the new company will have freedom to pursue alliances and other expansion opportunities," said Abbott CEO Miles D. White.

In 2002, Abbott reported overall sales of $17.7 billion, with 8.6% growth over 2001. The company's U.S. hospital products sales totaled $2.9 billion, with 7.2% growth over 2001. The company reported international hospital products sales of $785 million, with 3.5% growth.

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