Abbott settles NEC litigation for $670M covering Gill case and ~2,000 infants

ABBOTT LABORATORIES

• Agreements resolve $495M Gill verdict plus NEC claims for ~2,000 infants, total ~$670M.
• Avoids paying ~$600M (Gill judgment plus interest); settlement includes no admission of liability.
• Following settlement, ~1,700 lawsuits pending involving ~12,700 infants; company to work to eliminate invalid claims.
• Abbott and medical groups assert no reliable scientific evidence that preterm formulas cause NEC.