10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

(Mark One)

xQUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2013

OR

oTRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from                   to                  

Commission File No. 1-2189

ABBOTT LABORATORIES

An Illinois Corporation	I.R.S. Employer Identification No.
	36-0698440

100 Abbott Park Road

Abbott Park, Illinois 60064-6400

Telephone:  (847) 937-6l00

Indicate by check mark whether the registrant: (l) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of l934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  Yes x  No o

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§ 229.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).  Yes x  No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company.  See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.  (Check one):

Large Accelerated Filer x	Accelerated Filer o
Non-Accelerated Filer o	Smaller reporting company o
(Do not check if a smaller reporting company)

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  Yes o  No x

As of September 30, 2013, Abbott Laboratories had 1,546,185,646 common shares without par value outstanding.

PART I.  FINANCIAL INFORMATION

Abbott Laboratories and Subsidiaries

Condensed Consolidated Financial Statements

(Unaudited)

Abbott Laboratories and Subsidiaries

Condensed Consolidated Statement of Earnings

(Unaudited)

(dollars and shares in thousands except per share data)

	Three Months Ended						Nine Months Ended
	September 30						September 30
	2013			2012			2013			2012
Net Sales	$	5,369,138		$	5,264,787		$	16,193,059		$	15,861,769
Cost of products sold	2,450,532			2,488,913			7,427,105			7,218,133
Amortization of intangible assets	196,697			195,089			593,067			599,502
Research and development	356,877			350,653			1,065,757			1,083,972
Selling, general and administrative	1,734,693			1,920,115			5,234,527			5,576,770
Total Operating Cost and Expenses	4,738,799			4,954,770			14,320,456			14,478,377
Operating Earnings	630,339			310,017			1,872,603			1,383,392
Interest expense	39,799			152,034			121,082			406,092
Interest (income)	(16,044		)	(63,865		)	(47,995		)	(188,710		)
Net foreign exchange loss (gain)	4,599			(12,140		)	44,213			(22,770		)
Other (income) expense, net	(26,410		)	2,677			(28,391		)	(35,411		)
Earnings from Continuing Operations Before Taxes	628,395			231,311			1,783,694			1,224,191
Taxes on Earnings from Continuing Operations	(144,468		)	(107,610		)	(9,884		)	123,214
Earnings from Continuing Operations	772,863			338,921			1,793,578			1,100,977
Earnings from Discontinued Operations, net of taxes	192,871			1,603,885			192,871			3,808,562
Net Earnings	$	965,734		$	1,942,806		$	1,986,449		$	4,909,539
Basic Earnings Per Common Share —
Continuing Operations	$	0.50		$	0.21		$	1.14		$	0.70
Discontinued Operations	0.12			1.01			0.12			2.39
Net Earnings	$	0.62		$	1.22		$	1.26		$	3.09
Diluted Earnings Per Common Share —
Continuing Operations	$	0.49		$	0.21		$	1.13		$	0.69
Discontinued Operations	0.12			1.00			0.12			2.37
Net Earnings	$	0.61		$	1.21		$	1.25		$	3.06
Cash Dividends Declared Per Common Share	$	0.14		$	0.51		$	0.42		$	1.53
Average Number of Common Shares Outstanding Used for Basic Earnings Per Common Share	1,551,803			1,576,771			1,560,369			1,574,466
Dilutive Common Stock Options and Awards	14,888			17,508			16,114			16,500
Average Number of Common Shares Outstanding Plus Dilutive Common Stock Options and Awards	1,566,691			1,594,279			1,576,483			1,590,966
Outstanding Common Stock Options Having No Dilutive Effect	1,601			1,720			1,015			1,166

The accompanying notes to condensed consolidated financial statements are an integral part of this statement.

2

Abbott Laboratories and Subsidiaries

Condensed Consolidated Statement of Comprehensive Income

(Unaudited)

(dollars thousands)

	Three Months Ended						Nine Months Ended
	September 30						September 30
	2013			2012			2013			2012
Net Earnings	$	965,734		$	1,942,806		$	1,986,449		$	4,909,539
Less: Earnings from Discontinued Operations	192,871			1,603,885			192,871			3,808,562
Earnings from Continuing Operations	772,863			338,921			1,793,578			1,100,977
Foreign currency translation gain (loss) adjustments	269,602			515,454			(330,867		)	(171,973		)
Net actuarial gains (losses) and amortization of net actuarial losses and prior service cost and credits, net of taxes of $8,905 and $(32,244) in 2013 and $18,122 and $63,737 in 2012	18,498			31,511			(144,809		)	110,723
Unrealized (losses) gains on marketable equity securities, net of taxes of $(4,342) and $(2,475) in 2013 and $2,238 and $4,679 in 2012	(7,521		)	3,885			(4,288		)	8,104
Net adjustments for derivative instruments designated as cash flow hedges and other, net of taxes of $(2,666) and $(8,539) in 2013 and $(9,537) and $(20,664) in 2012	(10,664		)	(44,057		)	(34,157		)	(86,082		)
Other Comprehensive Income (Loss) from Continuing Operations	269,915			506,793			(514,121		)	(139,228		)
Comprehensive Income from Continuing Operations	1,042,778			845,714			1,279,457			961,749
Comprehensive Income from Discontinued Operations	192,871			1,884,707			192,871			3,789,060
Comprehensive Income	$	1,235,649		$	2,730,421		$	1,472,328		$	4,750,809

	Sept. 30 2013			Dec. 31 2012
Supplemental Accumulated Other Comprehensive Income Information, net of tax:
Cumulative foreign currency translation loss adjustments	$	(617,456	)	$	(79,353	)
Net actuarial losses and prior service cost and credits	(2,389,865		)	(3,595,554		)
Cumulative unrealized gains on marketable equity securities	26,452			31,363
Cumulative gains on derivative instruments designated as cash flow hedges	24,359			49,866

The accompanying notes to condensed consolidated financial statements are an integral part of this statement.

3

Abbott Laboratories and Subsidiaries

Condensed Consolidated Statement of Cash Flows

(Unaudited)

(dollars in thousands)

	Nine Months Ended September 30
	2013			2012
Cash Flow From (Used in) Operating Activities:
Net earnings	$	1,986,449		$	4,909,539
Adjustments to reconcile earnings to net cash from operating activities -
Depreciation	700,308			1,105,441
Amortization of intangibles	593,067			1,088,989
Share-based compensation	222,052			358,735
Acquired in-process and collaborations research and development	—			260,000
Trade receivables	21,790			689,292
Inventories	(242,032		)	(465,470		)
Other, net	(1,582,695		)	(135,265		)
Net Cash From Operating Activities	1,698,939			7,811,261
Cash Flow From (Used in) Investing Activities:
Acquisitions of property and equipment	(841,341		)	(1,409,193		)
Acquisitions of businesses and technology	(566,271		)	(681,624		)
Purchases of investment securities, net	(3,380,298		)	(2,246,183		)
Other	19,207			1,998
Net Cash (Used in) Investing Activities	(4,768,703		)	(4,335,002		)
Cash Flow From (Used in) Financing Activities:
Proceeds from issuance of short-term debt and other	3,524,138			788,358
Payment of long-term debt	—			(54,000		)
Contingent and other consideration payments related to business acquisitions	(400,000		)	(520,849		)
Transfer of cash and cash equivalents to AbbVie Inc.	(5,901,400		)	—
Purchases of common shares	(1,566,159		)	(1,723,348		)
Proceeds from stock options exercised, including income tax benefit	180,260			1,570,411
Dividends paid	(663,784		)	(2,370,937		)
Net Cash (Used in) Financing Activities	(4,826,945		)	(2,310,365		)
Effect of exchange rate changes on cash and cash equivalents	(23,000		)	18,234
Net (Decrease) Increase in Cash and Cash Equivalents	(7,919,709		)	1,184,128
Cash and Cash Equivalents, Beginning of Year	10,802,163			6,812,820
Cash and Cash Equivalents, End of Period	$	2,882,454		$	7,996,948

The accompanying notes to condensed consolidated financial statements are an integral part of this statement.

4

Abbott Laboratories and Subsidiaries

Condensed Consolidated Balance Sheet

(Unaudited)

(dollars in thousands)

	September 30 2013			December 31 2012
Assets
Current Assets:
Cash and cash equivalents	$	2,882,454		$	10,802,163
Investments, primarily bank time deposits and U.S. treasury bills	5,723,030			4,371,821
Trade receivables, less allowances of $340,899 in 2013 and $405,921 in 2012	3,882,803			7,612,860
Inventories:
Finished products	1,911,394			2,345,455
Work in process	379,143			628,874
Materials	513,533			817,984
Total inventories	2,804,070			3,792,313
Prepaid expenses, deferred income taxes, and other receivables	3,917,616			4,743,426
Current assets held for disposition	538,976			—
Total Current Assets	19,748,949			31,322,583
Investments	142,527			273,595
Property and Equipment, at Cost	12,714,200			18,928,887
Less: accumulated depreciation and amortization	6,871,831			10,865,840
Net Property and Equipment	5,842,369			8,063,047
Intangible Assets, net of amortization	5,926,873			8,588,285
Goodwill	9,724,128			15,774,127
Deferred Income Taxes and Other Assets	2,670,728			3,213,307
Non-current Assets Held for Disposition	76,903			—
	$	44,132,477		$	67,234,944
Liabilities and Shareholders’ Investment
Current Liabilities:
Short-term borrowings	$	4,595,867		$	2,081,839
Trade accounts payable	1,008,912			1,796,990
Salaries, wages and commissions	888,793			1,427,765
Other accrued liabilities	3,780,472			6,787,995
Dividends payable	216,937			221,340
Income taxes payable	228,175			655,424
Current portion of long-term debt	264,009			308,823
Current liabilities held for disposition	348,500			—
Total Current Liabilities	11,331,665			13,280,176
Long-term Debt	3,403,069			18,085,302
Post-employment Obligations, Deferred Income Taxes and Other Long-term Liabilities	5,603,607			9,056,234
Non-current Liabilities Held for Disposition	6,205			—
Commitments and Contingencies
Shareholders’ Investment:
Preferred shares, one dollar par value Authorized — 1,000,000 shares, none issued	—			—
Common shares, without par value Authorized - 2,400,000,000 shares Issued at stated capital amount - Shares: 2013: 1,682,978,987; 2012: 1,675,930,484	11,793,440			11,754,552
Common shares held in treasury, at cost - Shares: 2013: 136,793,341; 2012: 99,262,992	(6,808,771		)	(5,590,909		)
Earnings employed in the business	21,668,078			24,150,996
Accumulated other comprehensive income (loss)	(2,956,510		)	(3,593,678		)
Total Abbott Shareholders’ Investment	23,696,237			26,720,961
Noncontrolling Interests in Subsidiaries	91,694			92,271
Total Shareholders’ Investment	23,787,931			26,813,232
	$	44,132,477		$	67,234,944

The accompanying notes to condensed consolidated financial statements are an integral part of this statement.

5

Abbott Laboratories and Subsidiaries

Notes to Condensed Consolidated Financial Statements

September 30, 2013

(Unaudited)

Note 1 — Basis of Presentation

The accompanying unaudited, condensed consolidated financial statements have been prepared pursuant to rules and regulations of the Securities and Exchange Commission and, therefore, do not include all information and footnote disclosures normally included in audited financial statements.  However, in the opinion of management, all adjustments (which include only normal adjustments) necessary to present fairly the results of operations, financial position and cash flows have been made.  It is suggested that these statements be read in conjunction with the financial statements included in Abbott’s Annual Report on Form 10-K/A for the year ended December 31, 2012.  The consolidated financial statements include the accounts of the parent company and subsidiaries, after elimination of intercompany transactions.  The Condensed Consolidated Statement of Cash Flows for the nine months ended September 30, 2012 has been appropriately revised to reflect contingent and other consideration payments related to business acquisitions as cash flow used in financing activities.  The amounts had been previously reflected as cash flow used in investing activities.

Note 2 — Separation of AbbVie Inc.

On November 28, 2012, Abbott’s board of directors declared a special dividend distribution of all of the outstanding shares of common stock of AbbVie Inc. (AbbVie), the company formed to hold Abbott’s research-based proprietary pharmaceuticals business.  For each Abbott common share held at the close of business on December 12, 2012, Abbott shareholders received one share of AbbVie stock on January 1, 2013.  Abbott has received a ruling from the Internal Revenue Service that the separation qualifies as a tax-free distribution to Abbott and its U.S. shareholders for U.S. federal income tax purposes.

The historical results of operations of the research-based proprietary pharmaceuticals business have been presented as discontinued operations in the Condensed Consolidated Statement of Earnings.  Discontinued operations include the results of AbbVie’s business except for certain corporate overhead costs and certain costs associated with transition services that will be provided by Abbott to AbbVie.  Discontinued operations also includes other costs incurred by Abbott to separate AbbVie as well as an allocation of interest assuming a uniform ratio of consolidated debt to equity for all of Abbott’s historical operations.  Prior-year balance sheets and statements of cash flows have not been adjusted to reflect the effect of the separation.

The following is a summary of the assets and liabilities transferred to AbbVie as part of the separation on January 1, 2013.  The summary has been revised to appropriately reduce the amount of long-term deferred tax assets transferred to AbbVie and the corresponding distribution from equity by approximately $580 million:  (dollars in billions)

Assets:
Cash and cash equivalents	$	5.9
Investments	2.2
Trade receivables, less allowances	3.2
Inventories	0.7
Prepaid expenses, deferred income taxes, and other current receivables	2.9
Net property and equipment	2.2
Intangible assets, net of amortization	2.3
Goodwill	6.1
Deferred income taxes and other assets	1.0
	26.5
Liabilities:
Short-term borrowings	1.0
Trade accounts payable and other current liabilities	5.1
Long-term debt	14.6
Post-employment obligations, deferred income taxes and other long-term liabilities	3.1
	23.8
Net Assets Transferred to AbbVie Inc.	$	2.7

6

Notes to Condensed Consolidated Financial Statements

September 30, 2013

(Unaudited), continued

In addition, approximately $1.1 billion of accumulated other comprehensive losses, net of income taxes, primarily related to the pension and other benefit plan net liabilities as well as foreign translation was transferred to AbbVie.

In the third quarter 2013, discontinued operations includes a favorable adjustment to tax expense of $193 million as a result of the resolution of various tax positions related to AbbVie’s operations prior to separation. Summarized financial information for discontinued operations for 2012 is as follows: (dollars in millions)

	Three Months Ended		Nine Months Ended
	September 30 2012		September 30 2012
Net sales	$	4,508	$	13,175
Earnings before taxes	1,641		4,164
Taxes on earnings	37		355
Net earnings	1,604		3,809

Abbott and AbbVie entered into transitional services agreements prior to the separation pursuant to which Abbott and AbbVie are providing to each other, on an interim transitional basis, various services.  Transition services may be provided for up to 24 months with an option for a one-year extension by the recipient.  Services being provided by Abbott include certain information technology and back office support.  Billings by Abbott under these transitional services agreements are recorded as a reduction of the costs to provide the respective service in the applicable expense category in the Condensed Consolidated Statement of Earnings.  This transitional support will enable AbbVie to establish its stand-alone processes for various activities that were previously provided by Abbott and does not constitute significant continuing support of AbbVie’s operations.

For a small portion of AbbVie’s operations, the legal transfer of AbbVie’s assets (net of liabilities) did not occur with the separation of AbbVie on January 1, 2013 due to the time required to transfer marketing authorizations and other regulatory requirements in each of these countries.  Under the terms of the separation agreement with Abbott, AbbVie is subject to the risks and entitled to the benefits generated by these operations and assets.  The majority of these operations are expected to be transferred to AbbVie in 2013 with the remainder transferring in 2014.  These assets and liabilities have been presented as held for disposition in the Condensed Consolidated Balance Sheet.  At September 30, 2013, the assets and liabilities held for disposition consist of inventories of $173 million, trade accounts receivable of $338 million, equipment of $31 million, other assets of $74 million, trade accounts payable of $286 million and other liabilities of $69 million.  Abbott’s obligation to transfer the net assets held for disposition to AbbVie of $261 million is included in Other accrued liabilities.

Abbott has retained all liabilities for all U.S. federal and foreign income taxes on income prior to the separation, as well as certain non-income taxes attributable to AbbVie’s business.  AbbVie generally will be liable for all other taxes attributable to its business.  In connection with the separation, Abbott has adjusted its employee stock compensation awards and separated its defined benefit programs for pensions and post-employment medical and dental benefit plans.  See notes 7 and 9 for additional information.

Note 3 — Supplemental Financial Information

Unvested restricted stock that contain non-forfeitable rights to dividends are treated as participating securities and are included in the computation of earnings per share under the two-class method.  Under the two-class method, net earnings are allocated between common shares and participating securities.  Net earnings allocated to common shares for the three months and nine months ended September 30, 2013 were $959 million and $1.973 billion, respectively, and net earnings allocated to common shares for the three months and nine months ended September 30, 2012 were $1.928 billion and $4.871 billion, respectively.

Other (income) expense, net, in the third quarter of 2013 primarily relates to gains from the sales of equity securities.  Other, net in Net cash from operating activities for 2013 includes the recognition of $433 million of tax benefits in the third quarter as a result of the favorable resolution of various tax positions pertaining to prior years. Other, net in Net cash from operating activities for 2012 includes payments of approximately $800 million to settle certain government investigations related to AbbVie’s business operations and the recognition of $386 million of tax benefits in the third quarter as a result of the favorable resolution of various tax positions pertaining to a prior year.  These items were offset by increases in Other accrued liabilities primarily related to cost reduction initiatives and the timing of various payments.  Other, net in Net cash from operating activities for 2013 and 2012 includes the effects of contributions to defined benefit plans of approximately $680 million and $360 million, respectively.

7

Notes to Condensed Consolidated Financial Statements

September 30, 2013

(Unaudited), continued

The components of long-term investments as of September 30, 2013 and December 31, 2012 are as follows:

	September 30		December 31
(dollars in millions)	2013		2012
Equity securities	$	114	$	213
Other	29		61
Total	$	143	$	274

The reduction in long-term investments from December 31, 2012 to September 30, 2013 is due primarily to the separation of AbbVie on January 1, 2013.

Note 4 — Other Comprehensive Income

The components of the changes in other comprehensive income from continuing operations, net of income taxes, are as follows:

	Three Months Ended September 30
	Cumulative Foreign Currency Translation Adjustments						Net Actuarial Losses and Prior Service Costs and Credits						Cumulative Unrealized Gains on Marketable Equity Securities					Cumulative Gains on Derivative Instruments Designated as Cash Flow Hedges
(dollars in millions)	2013			2012			2013			2012			2013			2012		2013			2012
Balance at June 30	$	(887	)	$	(768	)	$	(2,408	)	$	(2,586	)	$	34		$	16	$	35		$	120
Other comprehensive income (loss) before reclassifications	270			515			(8		)	—			3			4		12			(8		)
Income (loss) amounts reclassified from accumulated other comprehensive income (a)	—			—			26			32			(10		)	—		(23		)	(36		)
Net current period comprehensive income (loss) from continuing operations	270			515			18			32			(7		)	4		(11		)	(44		)
Balance at September 30	$	(617	)	$	(253	)	$	(2,390	)	$	(2,554	)	$	27		$	20	$	24		$	76

	Nine Months Ended September 30
	Cumulative Foreign Currency Translation Adjustments						Net Actuarial Losses and Prior Service Costs and Credits						Cumulative Unrealized Gains on Marketable Equity Securities						Cumulative Gains on Derivative Instruments Designated as Cash Flow Hedges
(dollars in millions)	2013			2012			2013			2012			2013			2012			2013			2012
Balance at December 31, 2012 and 2011	$	(79	)	$	(73	)	$	(3,596	)	$	(2,731	)	$	31		$	38		$	50		$	167
Separation of AbbVie	(208		)	(8		)	1,351			66			—			(26		)	8			(5		)
Other comprehensive income (loss) before reclassifications	(330		)	(136		)	(227		)	—			17			9			(8		)	(11		)
Income (loss) amounts reclassified from accumulated other comprehensive income (a)	—			(36		)	82			111			(21		)	(1		)	(26		)	(75		)
Net current period comprehensive income (loss) from continuing operations	(330		)	(172		)	(145		)	111			(4		)	8			(34		)	(86		)
Balance at September 30	$	(617	)	$	(253	)	$	(2,390	)	$	(2,554	)	$	27		$	20		$	24		$	76

(a)Reclassified amounts for foreign currency translation are recorded in the Condensed Consolidated Statement of Earnings as Net foreign exchange loss (gain); gains on marketable equity securities as Other (income) expense and cash flow hedges as Cost of products sold.  Net actuarial losses and prior service cost is included as a component of net periodic benefit plan costs; see Note 7 for additional details.

8

Notes to Condensed Consolidated Financial Statements

September 30, 2013

(Unaudited), continued

Note 5 — Taxes on Earnings

Taxes on earnings reflect the estimated annual effective rates and include charges for interest and penalties.  In the third quarter of 2013 taxes on earnings reflect the recognition of $241 million of tax benefits in continuing operations as the result of the favorable resolution of various tax positions pertaining to prior years.  2013 Earnings from Discontinued Operations, net of tax, reflect the recognition of $193 million of tax benefits as a result of the favorable resolution of various tax positions related to AbbVie’s operations prior to separation.  The conclusion of these tax matters decreased the gross amount of unrecognized tax benefits by approximately $560 million. In addition, as a result of the American Taxpayer Relief Act of 2012 signed into law in January 2013, Abbott recorded a tax benefit to taxes on continuing operations of approximately $103 million in the first quarter of 2013 for the retroactive extension of the research tax credit and the look-through rules of section 954(c)(6) of the Internal Revenue Code to the beginning of 2012.  Taxes on earnings on continuing operations in 2012 reflect the recognition of $196 million of tax benefits in the third quarter as a result of the favorable resolution of various tax positions pertaining to a prior year.

Exclusive of these discrete items, the effective tax rates are less than the statutory U.S. federal income tax rate principally due to the benefit of lower statutory tax rates and tax exemptions in several foreign taxing jurisdictions.  Tax authorities in various jurisdictions regularly review Abbott’s income tax filings.  Abbott believes that it is reasonably possible that the recorded amount of gross unrecognized tax benefits may decrease by $400 million to $450 million, including cash adjustments, within the next twelve months as a result of concluding various domestic and international tax matters.

Note 6 — Litigation and Environmental Matters

Abbott has been identified as a potentially responsible party for investigation and cleanup costs at a number of locations in the United States and Puerto Rico under federal and state remediation laws and is investigating potential contamination at a number of company-owned locations. Abbott has recorded an estimated cleanup cost for each site for which management believes Abbott has a probable loss exposure. No individual site cleanup exposure is expected to exceed $4 million, and the aggregate cleanup exposure is not expected to exceed $15 million.

Abbott is involved in various claims and legal proceedings, and Abbott estimates the range of possible loss for its legal proceedings and environmental exposures to be from approximately $80 million to $100 million. The recorded accrual balance at September 30, 2013 for these proceedings and exposures was approximately $85 million. This accrual represents management’s best estimate of probable loss, as defined by FASB ASC No. 450, “Contingencies.” Within the next year, legal proceedings may occur that may result in a change in the estimated loss accrued by Abbott. While it is not feasible to predict the outcome of all such proceedings and exposures with certainty, management believes that their ultimate disposition should not have a material adverse effect on Abbott’s financial position, cash flows, or results of operations.

Note 7 — Post-Employment Benefits

Retirement plans consist of defined benefit, defined contribution, and medical and dental plans.  Net cost recognized in continuing operations for the three and nine months ended September 30 for Abbott’s major defined benefit plans and post-employment medical and dental benefit plans is as follows:

	Defined Benefit Plans												Medical and Dental Plans
	Three Months						Nine Months						Three Months						Nine Months
	Ended Sept. 30						Ended Sept. 30						Ended Sept. 30						Ended Sept. 30
(dollars in millions)	2013			2012			2013			2012			2013			2012			2013			2012
Service cost — benefits earned during the period	$	70		$	57		$	222		$	175		$	10		$	8		$	33		$	24
Interest cost on projected benefit obligations	66			66			198			199			15			10			45			32
Expected return on plans’ assets	(109		)	(90		)	(296		)	(272		)	(9		)	(4		)	(27		)	(13		)
Net amortization	41			33			123			106			(1		)	(1		)	(1		)	(3		)
Net Cost	$	68		$	66		$	247		$	208		$	15		$	13		$	50		$	40

9

Notes to Condensed Consolidated Financial Statements

September 30, 2013

(Unaudited), continued

Abbott funds its domestic defined benefit plans according to IRS funding limitations.  International pension plans are funded according to applicable regulations.  In the first nine months of 2013 and 2012, approximately $680 million and $360 million, respectively, was contributed to defined benefit plans and $40 million was contributed to the post-employment medical and dental benefit plans in each period.

The separation agreement with AbbVie obligates Abbott to transfer certain defined benefit and medical and dental plan liabilities and assets to AbbVie.  The net obligation is included in the assets and liabilities transferred to AbbVie as part of the separation on January 1, 2013.  The following table summarizes these projected benefit obligations and assets at January 1, 2013, based on the final actuarial valuations:

(dollars in millions)	Defined BenefitPlans		Medical and Dental Plans
Projected benefit obligations	$	4,534	$	472
Plans’ assets	3,111		—
Net obligation transferred to AbbVie	$	1,423	$	472

In addition, Abbott transferred to AbbVie Accumulated other comprehensive income (loss), net of income taxes, of approximately $1.2 billion.

Note 8 — Segment Information

Abbott’s principal business is the discovery, development, manufacture and sale of a broad line of health care products.  Abbott’s products are generally sold directly to retailers, wholesalers, hospitals, health care facilities, laboratories, physicians’ offices and government agencies throughout the world.  As a result of the separation of AbbVie, Abbott no longer has a Proprietary Pharmaceutical Products segment and this business has been removed from the 2012 historical information presented below.  Abbott’s reportable segments are as follows:

Established Pharmaceutical Products — International sales of a broad line of branded generic pharmaceutical products.

Nutritional Products — Worldwide sales of a broad line of adult and pediatric nutritional products.

Diagnostic Products — Worldwide sales of diagnostic systems and tests for blood banks, hospitals, commercial laboratories and alternate-care testing sites.  For segment reporting purposes, the Core Laboratories Diagnostics, Molecular Diagnostics, Point of Care and Ibis diagnostic divisions are aggregated and reported as the Diagnostic Products segment.

Vascular Products — Worldwide sales of coronary, endovascular, structural heart, vessel closure and other medical device products.

Non-reportable segments include the Diabetes Care and Medical Optics segments.

Abbott’s underlying accounting records are maintained on a legal entity basis for government and public reporting requirements.  Segment disclosures are on a performance basis consistent with internal management reporting.  The cost of some corporate functions and the cost of certain employee benefits are charged to segments at predetermined rates that approximate cost.  Remaining costs, if any, are not allocated to segments.  In addition, effective January 1, 2013, intangible asset amortization is not allocated to operating segments, and intangible assets and goodwill are not included in the measure of each segment’s assets.  After removal of intangible assets and goodwill from the measure of segment assets, the assets of the Established Pharmaceutical Products and the Vascular Products segments totaled $2.6 billion and $1.8 billion, respectively, as of September 30, 2013. The segment information below for 2012 has been adjusted to exclude intangible asset amortization.  The following segment information has been prepared in accordance with the internal accounting policies of Abbott, as described above, and are not presented in accordance with generally accepted accounting principles applied to the consolidated financial statements.

10

Notes to Condensed Consolidated Financial Statements

September 30, 2013

(Unaudited), continued

	Net Sales to External Customers								Operating Earnings
	Three Months				Nine Months				Three Months						Nine Months
	Ended Sept. 30				Ended Sept. 30				Ended Sept. 30						Ended Sept. 30
(dollars in millions)	2013		2012		2013		2012		2013			2012			2013			2012
Established Pharmaceutical Products	$	1,235	$	1,272	$	3,685	$	3,775	$	341		$	351		$	884		$	913
Nutritional Products	1,635		1,603		5,038		4,746		260			245			915			719
Diagnostic Products	1,125		1,042		3,349		3,162		250			202			752			629
Vascular Products	747		743		2,240		2,311		266			247			675			763
Total Reportable Segments	4,742		4,660		14,312		13,994		1,117			1,045			3,226			3,024
Other	627		605		1,881		1,868
Net Sales	$	5,369	$	5,265	$	16,193	$	15,862
Corporate functions and benefit plans costs									(117		)	(164		)	(364		)	(507		)
Non-reportable segments									89			98			276			285
Net interest expense									(24		)	(88		)	(73		)	(218		)
Share-based compensation (a)									(45		)	(51		)	(222		)	(236		)
Amortization of intangible assets									(197		)	(195		)	(593		)	(599		)
Other, net (b)									(195		)	(414		)	(467		)	(525		)
Consolidated Earnings from Continuing Operations Before Taxes									$	628		$	231		$	1,783		$	1,224

(a)Approximately 40 to 45 percent of the annual net cost of share-based awards will typically be recognized in the first quarter due to the timing of the granting of share-based awards.

(b)The decrease in Other, net, in the third quarter of 2013 is due primarily to lower expenses in 2013 related to cost reduction initiatives compared to 2012.

Note 9 — Incentive Stock Programs

In connection with the separation of AbbVie on January 1, 2013, Abbott modified its outstanding equity awards granted under incentive stock programs for its employees.  The awards were generally modified such that immediately following the separation, the awardees held the same number of awards in Abbott stock and an equal number of awards in AbbVie stock.  The exercise price on outstanding Abbott options was adjusted and the exercise price on the AbbVie options granted under this modification was established with the intention of generally preserving the value of the awards immediately prior to the separation.  This modification did not result in additional compensation expense.

In the first nine months of 2013, Abbott granted 4,733,378 stock options, 918,819 replacement stock options, 840,535 restricted stock awards and 6,074,381 restricted stock units under its incentive stock programs.  At September 30, 2013, approximately 130 million shares were reserved for future grants.  Information regarding the number of options outstanding and exercisable at September 30, 2013 is as follows:

	Outstanding		Exercisable
Number of shares	45,693,210		38,893,329
Weighted average remaining life (years)	4.0		3.2
Weighted average exercise price	$	26.22	$	25.12
Aggregate intrinsic value (in millions)	$	338	$	324

The total unrecognized share-based compensation cost at September 30, 2013 amounted to approximately $195 million which is expected to be recognized over the next three years.

11

Notes to Condensed Consolidated Financial Statements

September 30, 2013

(Unaudited), continued

Note 10 — Business Acquisitions

In August 2013, Abbott acquired 100 percent of IDEV Technologies, net of debt, for $310 million, in cash. The acquisition of IDEV Technologies expands Abbott’s endovascular portfolio. The preliminary allocation of the fair value of the acquisition resulted in non-deductible acquired in-process research and development of approximately $200 million which is accounted for as an indefinite-lived intangible asset until regulatory approval or discontinuation, non-deductible definite-lived intangible assets of approximately $90 million, non-deductible goodwill of approximately $90 million and net deferred tax liabilities of $80 million. Acquired intangible assets consist of developed technology and are being amortized over 11 years.

In August 2013, Abbott acquired 100 percent of OptiMedica for $260 million, in cash, plus additional payments up to $150 million to be made upon completion of certain development, regulatory and sales milestones. The acquisition of OptiMedica provides Abbott with an immediate entry point into the laser assisted cataract surgery market.  The preliminary allocation of the fair value of the acquisition resulted in non-deductible definite-lived intangible assets of approximately $165 million, non-deductible acquired in-process research and development of approximately $60 million which is accounted for as an indefinite-lived intangible asset until regulatory approval or discontinuation, non-deductible goodwill of approximately $145 million, net deferred tax liabilities of $70 million and contingent consideration of approximately $60 million.  The fair value of the contingent consideration was determined based on an independent appraisal. Acquired intangible assets consist of developed technology and are being amortized over 18 years.

The preliminary allocations of the fair value of these acquisitions will be finalized when the appraisals are completed.  Had the above acquisitions taken place on January 1 of the previous year, consolidated net sales and income would not have been significantly different from reported amounts.

Note 11 — Financial Instruments, Derivatives and Fair Value Measures

Certain Abbott foreign subsidiaries enter into foreign currency forward exchange contracts to manage exposures to changes in foreign exchange rates for anticipated intercompany purchases by those subsidiaries whose functional currencies are not the U.S. dollar.  These contracts, totaling $192 million and $1.6 billion at September 30, 2013 and December 31, 2012, respectively, are designated as cash flow hedges of the variability of the cash flows due to changes in foreign exchange rates and are recorded at fair value.  Contracts totaling $1.0 billion were transferred to AbbVie as part of the separation on January 1, 2013.  Accumulated gains and losses as of September 30, 2013 will be included in Cost of products sold at the time the products are sold, generally through the next twelve months.  The amount of hedge ineffectiveness was not significant in 2013 and 2012.

Abbott enters into foreign currency forward exchange contracts to manage currency exposures for foreign currency denominated third-party trade payables and receivables, and for intercompany loans and trade accounts payable where the receivable or payable is denominated in a currency other than the functional currency of the entity.  For intercompany loans, the contracts require Abbott to sell or buy foreign currencies, primarily European currencies and Japanese yen, in exchange for primarily U.S. dollars and other European currencies.  For intercompany and trade payables and receivables, the currency exposures are primarily the U.S. dollar, European currencies and Japanese yen.  At September 30, 2013 and December 31, 2012, Abbott held $11.6 billion and $18.2 billion, respectively, of such foreign currency forward exchange contracts, of which $4.3 billion of these contracts were transferred to AbbVie as part of the separation on January 1, 2013.

Abbott has designated foreign denominated short-term debt as a hedge of the net investment in a foreign subsidiary of approximately $540 million and approximately $615 million as of September 30, 2013 and December 31, 2012, respectively.  Accordingly, changes in the fair value of this debt due to changes in exchange rates are recorded in Accumulated other comprehensive income (loss), net of tax.

Abbott is a party to interest rate swap contracts totaling approximately $1.5 billion at September 30, 2013 and $9.5 billion at December 31, 2012 to manage its exposure to changes in the fair value of fixed-rate debt.  $8.0 billion of these contracts related to debt issued by AbbVie Inc. in the fourth quarter of 2012 and were transferred to AbbVie as part of the separation on January 1, 2013. These contracts are designated as fair value hedges of the variability of the fair value of fixed-rate debt due to changes in the long-term benchmark interest rates.  The effect of the hedge is to change a fixed-rate interest obligation to a variable rate for that portion of the debt.  Abbott records the contracts at fair value and adjusts the carrying amount of the fixed-rate debt by an offsetting amount.  No hedge ineffectiveness was recorded in income in 2013 or 2012 for these hedges.

12

Notes to Condensed Consolidated Financial Statements

September 30, 2013

(Unaudited), continued

The following table summarizes the amounts and location of certain derivative financial instruments as of September 30, 2013 and December 31, 2012:

	Fair Value - Assets					Fair Value - Liabilities
(dollars in millions)	Sept. 30 2013		Dec. 31 2012		Balance Sheet Caption	Sept. 30 2013		Dec. 31 2012		Balance Sheet Caption
Interest rate swaps designated as fair value hedges	$	114	$	185	Deferred income taxes and other assets	$	—	$	80	Post-employment obligations, deferred income taxes and other long-term liabilities
Foreign currency forward exchange contracts —
Hedging instruments	10		22		Prepaid expenses,	—		11		Other accrued liabilities
Others not designated as hedges	90		98		deferred income taxes, and other receivables	86		135
Debt designated as a hedge of net investment in a foreign subsidiary	—		—		n/a	540		615		Short-term borrowings
	$	214	$	305		$	626	$	841

The following table summarizes the activity for foreign currency forward exchange contracts designated as cash flow hedges, debt designated as a hedge of net investment in a foreign subsidiary and the amounts and location of income (expense) and gain (loss) reclassified into income in the third quarter and first nine months of 2013 and 2012 and for certain other derivative financial instruments.  The amount of hedge ineffectiveness was not significant in 2013 and 2012 for these hedges.

	Gain (loss) Recognized in Other Comprehensive Income (loss)										Income (expense) and Gain (loss) Reclassified into Income
	Three Months					Nine Months					Three Months					Nine Months
	Ended Sept. 30					Ended Sept. 30					Ended Sept. 30					Ended Sept. 30					Income Statement
(dollars in millions)	2013		2012			2013		2012			2013			2012		2013			2012		Caption
Foreign currency forward exchange contracts designated as cash flow hedges	$	—	$	(7	)	$	31	$	(9	)	$	15		$	36	$	29		$	75	Cost of products sold
Debt designated as a hedge of net investment in a foreign subsidiary	—		(15		)	75		(5		)	n/a			n/a		n/a			n/a		n/a
Interest rate swaps designated as fair value hedges	n/a		n/a			n/a		n/a			10			78		(71		)	161		Interest expense
Foreign currency forward exchange contracts not designated as hedges	n/a		n/a			n/a		n/a			(70		)	7		70			145		Net foreign exchange loss (gain)

The interest rate swaps are designated as fair value hedges of the variability of the fair value of fixed-rate debt due to changes in the long-term benchmark interest rates.  The hedged debt is marked to market, offsetting the effect of marking the interest rate swaps to market.

13

Notes to Condensed Consolidated Financial Statements

September 30, 2013

(Unaudited), continued

The carrying values and fair values of certain financial instruments as of September 30, 2013 and December 31, 2012 are shown in the table below. The carrying values of all other financial instruments approximate their estimated fair values.  The counterparties to financial instruments consist of select major international financial institutions.  Abbott does not expect any losses from nonperformance by these counterparties.

	September 30 2013						December 31 2012
(dollars in millions)	Carrying Value			Fair Value			Carrying Value			Fair Value
Long-term Investment Securities:
Equity securities	$	114		$	114		$	213		$	213
Other	29			26			61			56
Total Long-term Debt	(3,667		)	(4,157		)	(18,394		)	(19,588		)
Foreign Currency Forward Exchange Contracts:
Receivable position	100			100			120			120
(Payable) position	(86		)	(86		)	(146		)	(146		)
Interest Rate Hedge Contracts
Receivable position	114			114			185			185
(Payable) position	—			—			(80		)	(80		)

The fair value of the debt was determined based on significant other observable inputs, including current interest rates.

The following table summarizes the bases used to measure certain assets and liabilities at fair value on a recurring basis in the balance sheet:

			Basis of Fair Value Measurement
			Quoted		Significant
			Prices in		Other		Significant
	Outstanding		Active		Observable		Unobservable
(dollars in millions)	Balances		Markets		Inputs		Inputs
September 30, 2013:
Equity securities	$	49	$	49	$	—	$	—
Interest rate swap derivative financial instruments	114		—		114		—
Foreign currency forward exchange contracts	100		—		100		—
Total Assets	$	263	$	49	$	214	$	—
Fair value of hedged long-term debt	$	1,640	$	—	$	1,640	$	—
Foreign currency forward exchange contracts	86		—		86		—
Contingent consideration related to business combinations	265		—		—		265
Total Liabilities	$	1,991	$	—	$	1,726	$	265
December 31, 2012:
Equity securities	$	76	$	76	$	—	$	—
Interest rate swap derivative financial instruments	185		—		185		—
Foreign currency forward exchange contracts	120		—		120		—
Total Assets	$	381	$	76	$	305	$	—
Fair value of hedged long-term debt	$	9,632	$	—	$	9,632	$	—
Interest rate swap derivative financial instruments	80		—		80		—
Foreign currency forward exchange contracts	146		—		146		—
Contingent consideration related to business combinations	323		—		—		323
Total Liabilities	$	10,181	$	—	$	9,858	$	323

The fair value of the debt was determined based on the face value of the debt adjusted for the fair value of the interest rate swaps, which is based on a discounted cash flow analysis.  The fair value of the contingent consideration was determined based on an independent appraisal adjusted for the time value of money, exchange, payments and other changes in fair value. The balance at September 30, 2013 reflects contingent consideration related to the acquisition of OptiMedica.

14

Notes to Condensed Consolidated Financial Statements

September 30, 2013

(Unaudited), continued

Note 12 — Goodwill and Intangible Assets

Abbott recorded goodwill of approximately $235 million in 2013 related to the acquisitions of IDEV Technologies and OptiMedica.  Goodwill related to the IDEV acquisition was allocated to the Vascular Products segment and goodwill related to OptiMedica was allocated to a non-reportable segment.  Foreign currency translation adjustments and other adjustments decreased goodwill in the first nine months of 2013 by approximately $155 million, while there were no significant changes in 2012.  In addition, in connection with the separation of AbbVie on January 1, 2013, Abbott transferred approximately $6.1 billion of goodwill to AbbVie. The amount of goodwill related to reportable segments at September 30, 2013 was $2.9 billion for the Established Pharmaceutical Products segment, $210 million for the Nutritional Products segment, $386 million for the Diagnostic Products segment, and $2.8 billion for the Vascular Products segment.  Other than the effects of the separation of AbbVie, there were no reductions of goodwill relating to the disposal of all or a portion of a business.  There was no reduction of goodwill relating to impairments.

The gross amount of amortizable intangible assets, primarily product rights and technology was $12.0 billion as of September 30, 2013 and $17.6 billion as of December 31, 2012, and accumulated amortization was $6.6 billion as of September 30, 2013 and $9.7 billion as of December 31, 2012. Indefinite-lived intangible assets, which relate to in-process research and development acquired in a business combination, was approximately $520 million at September 30, 2013 and $691 million at December 31, 2012.  Gross amortizable intangible assets, accumulated amortization and indefinite-lived intangible assets of $5.8 billion, $3.9 billion and $416 million, respectively, were transferred to AbbVie as part of the separation on January 1, 2013.  Abbott’s estimated annual amortization expense for intangible assets is approximately $800 million in 2013, $685 million in 2014, $635 million in 2015, $620 million in 2016 and $585 million in 2017.  Amortizable intangible assets are amortized over 4 to 20 years (average 11 years).

Note 13 — Restructuring Plans

In the third quarter of 2013, Abbott management approved a plan to streamline certain manufacturing operations in order to reduce costs and improve efficiencies in Abbott’s established pharmaceutical business. In addition, in the third quarter of 2012, Abbott management approved plans to streamline various commercial operations in order to reduce costs and improve efficiencies in Abbott’s core diagnostics, established pharmaceutical and nutritionals businesses. Abbott recorded employee related severance charges of approximately $19 million and $167 million in 2013 and 2012, respectively.  Additional charges of approximately $4 million and $22 million were also recorded in 2013 and 2012, respectively, primarily for asset impairments. Approximately $23 million in 2013 and $70 million in 2012 is recorded in Cost of products sold and approximately $119 million as Selling, general and administrative expense in 2012. Through December 31, 2012, no significant cash payments were made relating to the 2012 action.  The following summarizes the activity for these restructurings: (dollars in millions)

	2013
Restructuring charges recorded in 2012	$	167
Restructuring charges	19
Payments and other adjustments	(77		)
Accrued balance at September 30	$	109

In 2013 and prior years, Abbott management approved plans to realign its worldwide pharmaceutical and vascular manufacturing operations and selected domestic and international commercial and research and development operations in order to reduce costs. In 2013, Abbott recorded employee related severance charges of approximately $11 million.  Additional charges of approximately $12 million were also recorded in 2013 primarily for accelerated depreciation. Approximately $23 million in 2013 is recorded in Cost of products sold.  The following summarizes the activity for these restructurings: (dollars in millions)

	2013			2012
Accrued balance at December 31, 2012 and 2011	$	129		$	177
Restructuring charges	11			—
Transfer of liability to AbbVie	(62		)	—
Payments and other adjustments	(47		)	(19		)
Accrued balance at September 30	$	31		$	158

Additional charges of $24 million and $21 million were recorded in the first nine months of 2013 and 2012, respectively, relating to these restructurings, primarily for accelerated depreciation.

15

Notes to Condensed Consolidated Financial Statements

September 30, 2013

(Unaudited), continued

In 2012 and 2010, Abbott management approved restructuring plans primarily related to the acquisition of Solvay Pharmaceuticals.  These plans streamline operations, improve efficiencies and reduce costs in certain sites and functions as well as in certain commercial organizations in various countries.  The following summarizes the activity for these restructurings: (dollars in millions)

	2013			2012
Accrued balance at December 31, 2012 and 2011	$	115		$	108
Restructuring charges	—			150
Transfer of liability to AbbVie	(115		)	—
Payments and other adjustments	—			(108		)
Accrued balance at September 30	$	—		$	150

In 2011 and 2008, Abbott management approved plans to streamline global manufacturing operations, reduce overall costs, and improve efficiencies in Abbott’s core diagnostic business. The following summarizes the activity for these restructurings: (dollars in millions)

	2013			2012
Accrued balance at December 31, 2012 and 2011	$	56		$	79
Payments and other adjustments	(10		)	(22		)
Accrued balance at September 30	$	46		$	57

Additional charges of approximately $6 million and $12 million were recorded in the first nine months of 2013 and 2012, respectively, relating to this restructuring, primarily for product transfer costs.

16

FINANCIAL REVIEW

Results of Operations

The following table details sales by reportable segment for the three months and nine months ended September 30.  Percent changes are versus the prior year and are based on unrounded numbers.

	Net Sales to External Customers
	Three Months Ended September 30								Nine Months Ended September 30
(dollars in millions)	2013		Percent Change		2012		Percent Change		2013		Percent Change		2012		Percent Change
Established Pharmaceutical Products	$	1,235	(2.9	)	$	1,272	(7.3	)	$	3,685	(2.4	)	$	3,775	(5.0	)
Nutritional Products	1,635		1.9		1,603		4.6		5,038		6.2		4,746		7.0
Diagnostic Products	1,125		8.0		1,042		1.6		3,349		5.9		3,162		3.8
Vascular Products	747		0.6		743		(10.2	)	2,240		(3.1	)	2,311		(7.8	)
Total Reportable Segments	4,742		1.8		4,660		(2.0	)	14,312		2.3		13,994		0.2
Other	627		3.6		605		(7.1	)	1,881		0.7		1,868		(3.1	)
Net Sales	$	5,369	2.0		$	5,265	(2.6	)	$	16,193	2.1		$	15,862	(0.2	)
Total U.S.	$	1,587	3.3		$	1,536	(3.8	)	$	4,681	(1.0	)	$	4,726	1.2
Total International	$	3,782	1.4		$	3,729	(2.2	)	$	11,512	3.4		$	11,136	(0.8	)

The net sales growth for the third quarter and first nine months of 2013 reflects unit growth, partially offset by unfavorable exchange.  Excluding 2.3 percent and 1.9 percent of unfavorable exchange for the third quarter and first nine months of 2013, respectively, net sales increased 4.3 percent and 4.0 percent, respectively.  The relatively stronger U.S. dollar decreased third quarter 2013 Total International sales by 3.3 percent, decreased Established Pharmaceutical Products segment sales by 3.5 percent, decreased Nutritional Product segment sales by 1.5 percent, decreased Diagnostic Products segment sales by 2.5 percent and decreased Vascular Products segment sales by 1.9 percent over the third quarter of 2012.  The relatively stronger U.S. dollar decreased the first nine months 2013 Total International sales by 2.7 percent, decreased Established Pharmaceutical Products segment sales by 3.1 percent, decreased Nutritional Product segment sales by 0.8 percent, decreased Diagnostic Products segment sales by 2.2 percent and decreased Vascular Products segment sales by 1.8 percent over the first nine months of 2012.  In addition to unfavorable exchange, the decrease in 2013 and 2012 Vascular Products sales reflects the winding down of royalty and supply agreements related to certain third-party products, including Promus.  Excluding this royalty and supply agreement revenue in both periods and the unfavorable effect of exchange, year-to-date Vascular Products sales decreased 0.4 percent in 2013 and increased 4.3 percent in 2012.  The decrease in 2013 is due primarily to pricing pressures on drug eluting stents and other coronary products as a result of market competition in major markets, offset by share gains from the sales of new products.

The net sales growth for the third quarter and first nine months of 2012 reflects unit growth, partially offset by unfavorable exchange.  Excluding 4.9 percent and 3.8 percent of unfavorable exchange for the third quarter and first nine months of 2012, net sales increased 2.3 percent and 3.6 percent, respectively.  The relatively stronger U.S. dollar decreased third quarter 2012 Total International sales by 7.0 percent, decreased Established Pharmaceutical Products segment sales by 9.6 percent, decreased Nutritional Product segment sales by 1.8 percent, decreased Diagnostic Products segment sales by 5.0 percent and decreased Vascular Products segment sales by 3.9 percent over the third quarter of 2011.  The relatively stronger U.S. dollar decreased the first nine months 2012 Total International sales by 5.4 percent, decreased Established Pharmaceutical Products segment sales by 7.7 percent, decreased Nutritional Product segment sales by 1.4 percent, decreased Diagnostic Products segment sales by 3.8 percent and decreased Vascular Products segment sales by 2.6 percent over the first nine months of 2011.

17

FINANCIAL REVIEW

(continued)

A comparison of significant product group sales for the nine months ended September 30 is as follows.  Percent changes are versus the prior year and are based on unrounded numbers.

(dollars in millions)	2013		Percent Change		2012		Percent Change
Established Pharmaceutical Products sales —
Key Emerging Markets	$	1,747	1		$	1,729	4
Other Markets	1,938		(5	)	2,046		(11	)
Nutritionals —
U.S. Pediatric Nutritionals	1,127		—		1,122		16
International Pediatric Nutritionals	1,708		14		1,496		5
U.S. Adult Nutritionals	1,030		—		1,032		4
International Adult Nutritionals	1,173		7		1,096		4
Diagnostics —
Immunochemistry	2,549		5		2,429		4
Vascular Products (1) —
Drug Eluting Stents (DES) and Bioresorbable Vascular Scaffold (BVS) products	1,160		(3	)	1,199		3
Other Coronary products	430		(4	)	448		(1	)
Endovascular	351		4		338		—

(1) Other Coronary Products include primarily guidewires and balloon catheters.  Endovascular includes vessel closure, carotid stents and other peripheral products.

The Established Pharmaceutical Products segment is focused on 14 key emerging markets including India, Russia, China and Brazil. Sales in Other Markets in the Established Pharmaceutical Products segment decreased in 2013 and 2012 due primarily to price declines from the continued effect of European austerity measures, the impact of 2012 price reductions in Japan, and unfavorable exchange.  U.S. Pediatric sales were flat in 2013 due to lower formula share in the Supplemental Nutrition Program for Women, Infants and Children (WIC) segment, partially offset by higher shipments of toddler products. In 2012, U.S Pediatric Nutritional sales reflect market share gains for Similac, including the recovery from the September 2010 voluntary recall as well as unit growth for Pediatric Nutritionals.  International Pediatric Nutritionals sales increased in 2013 and 2012 due primarily to volume growth in developing countries.  In the third quarter of 2013, International Pediatric Nutritional sales were negatively impacted by a supplier recall in early August in certain international markets of pediatric nutritional products. While there were no health issues associated with this supplier recall and the supplier subsequently determined that the products had been safe for consumption, this event created significant disruption in these markets. Abbott expects this sales disruption to continue to negatively impact International Pediatric Nutritional growth in the fourth quarter of 2013 and the first half of 2014.  U.S. Adult Nutritional sales in 2013 were negatively impacted by the exit from certain non-core business lines as part of the business’ margin improvement initiative.  In the Vascular Products segment, decreased sales of DES and Other Coronary products in 2013 reflect pricing pressure as a result of market competition in major markets and the negative effect of the stronger U.S. dollar.

The gross profit margin was 50.7 percent for the third quarter 2013 compared to 49.0 percent for the third quarter 2012.  First nine months 2013 gross profit margin was 50.5 percent compared to 50.7 percent in the first nine months 2012. The third quarter and first nine months 2013 gross margins reflect improved gross margins in the nutritional and diagnostics segments.  During the first nine months of 2013 this was partially offset by pricing pressure in certain developed markets, the negative effect of exchange and costs associated with various restructuring programs.

Research and development expenses increased 1.8 percent in the third quarter 2013 and decreased 1.7 percent for the first nine months 2013 due primarily to the timing of expenditures.  For the first nine months ended September 30, 2013, research and development expenditures totaled $251 million for the Vascular Products segment, $301 million for the Diagnostics Products segment, $171 million for the Established Pharmaceutical Products segment and $136 million for the Nutritional Products segment.

18

FINANCIAL REVIEW

(continued)

Selling, general and administrative expenses for the third quarter and first nine months 2013 decreased 9.7 percent and 6.1 percent, respectively, due primarily to the inclusion in 2012 of certain corporate costs that transferred to AbbVie in the separation and certain costs that are being charged to AbbVie under transitional services agreements in 2013, as well as expense control initiatives across all of Abbott’s businesses.

Business Combinations

In August 2013, Abbott acquired 100 percent of IDEV Technologies, net of debt, for $310 million, in cash. The acquisition of IDEV Technologies expands Abbott’s endovascular portfolio. The preliminary allocation of the fair value of the acquisition resulted in non-deductible acquired in-process research and development of approximately $200 million which is accounted for as an indefinite-lived intangible asset until regulatory approval or discontinuation, non-deductible definite-lived intangible assets of approximately $90 million, non-deductible goodwill of approximately $90 million and net deferred tax liabilities of $80 million. Acquired intangible assets consist of developed technology and are being amortized over 11 years.

In August 2013, Abbott acquired 100 percent of OptiMedica for $260 million, in cash, plus additional payments up to $150 million to be made upon completion of certain development, regulatory and sales milestones. The acquisition of OptiMedica provides Abbott with an immediate entry point into the laser assisted cataract surgery market.  The preliminary allocation of the fair value of the acquisition resulted in non-deductible definite-lived intangible assets of approximately $165 million, non-deductible acquired in-process research and development of approximately $60 million which is accounted for as an indefinite-lived intangible asset until regulatory approval or discontinuation, non-deductible goodwill of approximately $145 million, net deferred tax liabilities of $70 million and contingent consideration of approximately $60 million.  The fair value of the contingent consideration was determined based on an independent appraisal. Acquired intangible assets consist of developed technology and are being amortized over 18 years.

The preliminary allocations of the fair value of these acquisitions will be finalized when the appraisals are completed.  Had the above acquisitions taken place on January 1 of the previous year, consolidated net sales and income would not have been significantly different from reported amounts.

Restructuring Plans

In the third quarter of 2013, Abbott management approved a plan to streamline certain manufacturing operations in order to reduce costs and improve efficiencies in Abbott’s established pharmaceutical business. In addition, in the third quarter of 2012, Abbott management approved plans to streamline various commercial operations in order to reduce costs and improve efficiencies in Abbott’s core diagnostics, established pharmaceutical and nutritionals businesses. Abbott recorded employee related severance charges of approximately $19 million and $167 million in 2013 and 2012, respectively.  Additional charges of approximately $4 million and $22 million were also recorded in 2013 and 2012, respectively, primarily for asset impairments. Approximately $23 million in 2013 and $70 million in 2012 is recorded in Cost of products sold and approximately $119 million as Selling, general and administrative expense in 2012. Through December 31, 2012, no significant cash payments were made relating to the 2012 action.  The following summarizes the activity for these restructurings: (dollars in millions)

	2013
Restructuring charges recorded in 2012	$	167
Restructuring charges	19
Payments and other adjustments	(77		)
Accrued balance at September 30	$	109

In 2013 and prior years, Abbott management approved plans to realign its worldwide pharmaceutical and vascular manufacturing operations and selected domestic and international commercial and research and development operations in order to reduce costs. In 2013, Abbott recorded employee related severance charges of approximately $11 million. Additional charges of approximately $12 million were also recorded in 2013 primarily for accelerated depreciation. Approximately $23 million in 2013 is recorded in Cost of products sold. The following summarizes the activity for these restructurings: (dollars in millions)

	2013			2012
Accrued balance at December 31, 2012 and 2011	$	129		$	177
Restructuring charges	11			—
Transfer of liability to AbbVie	(62		)	—
Payments and other adjustments	(47		)	(19		)
Accrued balance at September 30	$	31		$	158

19

FINANCIAL REVIEW

(continued)

Additional charges of $24 million and $21 million were recorded in the first nine months of 2013 and 2012, respectively, relating to these restructurings, primarily for accelerated depreciation.

In 2012 and 2010, Abbott management approved restructuring plans primarily related to the acquisition of Solvay Pharmaceuticals.  These plans streamline operations, improve efficiencies and reduce costs in certain sites and functions as well as in certain commercial organizations in various countries.  The following summarizes the activity for these restructurings: (dollars in millions)

	2013			2012
Accrued balance at December 31, 2012 and 2011	$	115		$	108
Restructuring charges	—			150
Transfer of liability to AbbVie	(115		)	—
Payments and other adjustments	—			(108		)
Accrued balance at September 30	$	—		$	150

In 2011 and 2008, Abbott management approved plans to streamline global manufacturing operations, reduce overall costs, and improve efficiencies in Abbott’s core diagnostic business.  The following summarizes the activity for these restructurings: (dollars in millions)

	2013			2012
Accrued balance at December 31, 2012 and 2011	$	56		$	79
Payments and other adjustments	(10		)	(22		)
Accrued balance at September 30	$	46		$	57

Additional charges of approximately $6 million and $12 million were recorded in the first nine months of 2013 and 2012, respectively, relating to this restructuring, primarily for product transfer costs.

Interest Expense (Income)

Interest expense decreased in the third quarter and first nine months of 2013 compared to 2012 due to a lower level of borrowings.

Other (Income) Expense, net

Other (income) expense, net, in the third quarter of 2013 primarily relates to gains from the sales of equity securities.

Taxes on Earnings

Taxes on earnings reflect the estimated annual effective rates and include charges for interest and penalties.  In the third quarter of 2013, taxes on earnings reflect the recognition of $241 million of tax benefits in continuing operations as the result of the favorable resolution of various tax positions pertaining to prior years.  2013 Earnings from Discontinued Operations, net of tax, reflect the recognition of $193 million of tax benefits as a result of the favorable resolution of various tax positions related to AbbVie’s operations prior to separation.  The conclusion of these tax matters decreased the gross amount of unrecognized tax benefits by approximately $560 million. In addition, as a result of the American Taxpayer Relief Act of 2012 signed into law in January 2013, Abbott recorded a tax benefit to taxes on continuing operations of approximately $103 million in the first quarter of 2013 for the retroactive extension of the research tax credit and the look-through rules of section 954(c)(6) of the Internal Revenue Code to the beginning of 2012.  Taxes on earnings on continuing operations in 2012 reflect the recognition of $196 million of tax benefits in the third quarter as a result of the favorable resolution of various tax positions pertaining to a prior year.

Exclusive of these discrete items, the effective tax rates are less than the statutory U.S. federal income tax rate principally due to the benefit of lower statutory tax rates and tax exemptions in several foreign taxing jurisdictions.  Tax authorities in various jurisdictions regularly review Abbott’s income tax filings.  Abbott believes that it is reasonably possible that the recorded amount of gross unrecognized tax benefits may decrease by $400 million to $450 million, including cash adjustments, within the next twelve months as a result of concluding various domestic and international tax matters.

20

FINANCIAL REVIEW

(continued)

Separation of AbbVie Inc.

On November 28, 2012, Abbott’s board of directors declared a special dividend distribution of all of the outstanding shares of common stock of AbbVie Inc. (AbbVie), the company formed to hold Abbott’s research-based proprietary pharmaceuticals business.  For each Abbott common share held at the close of business on December 12, 2012, Abbott shareholders received one share of AbbVie stock on January 1, 2013.  Abbott has received a ruling from the Internal Revenue Service that the separation qualifies as a tax-free distribution to Abbott and its U.S. shareholders for U.S. federal income tax purposes.

The historical results of operations of the research-based proprietary pharmaceuticals business have been presented as discontinued operations in the Condensed Consolidated Statement of Earnings.  Discontinued operations include the results of AbbVie’s business except for certain corporate overhead costs and certain costs associated with transition services that will be provided by Abbott to AbbVie.  Discontinued operations also includes other costs incurred by Abbott to separate AbbVie as well as an allocation of interest assuming a uniform ratio of consolidated debt to equity for all of Abbott’s historical operations.   Prior-year balance sheets and statements of cash flows have not been adjusted to reflect the effect of the separation.

The following is a summary of the assets and liabilities transferred to AbbVie as part of the separation on January 1, 2013.  The summary has been revised to appropriately reduce the amount of long-term deferred tax assets transferred to AbbVie and the corresponding distribution from equity by approximately $580 million:  (dollars in billions)

Assets:
Cash and cash equivalents	$	5.9
Investments	2.2
Trade receivables, less allowances	3.2
Inventories	0.7
Prepaid expenses, deferred income taxes, and other current receivables	2.9
Net property and equipment	2.2
Intangible assets, net of amortization	2.3
Goodwill	6.1
Deferred income taxes and other assets	1.0
	26.5
Liabilities:
Short-term borrowings	1.0
Trade accounts payable and other current liabilities	5.1
Long-term debt	14.6
Post-employment obligations, deferred income taxes and other long-term liabilities	3.1
	23.8
Net Assets Transferred to AbbVie Inc.	$	2.7

In addition, approximately $1.1 billion of accumulated other comprehensive losses, net of income taxes, primarily related to the pension and other benefit plan net liabilities as well as foreign translation was transferred to AbbVie.

In the third quarter 2013, discontinued operations includes a favorable adjustment to tax expense of $193 million as a result of the resolution of various tax positions related to AbbVie’s operations prior to separation. Summarized financial information for discontinued operations for 2012 is as follows: (dollars in millions)

	Three Months Ended		Nine Months Ended
	September 30 2012		September 30 2012
Net sales	$	4,508	$	13,175
Earnings before taxes	1,641		4,164
Taxes on earnings	37		355
Net earnings	1,604		3,809

21

FINANCIAL REVIEW

(continued)

Abbott and AbbVie entered into transitional services agreements prior to the separation pursuant to which Abbott and AbbVie are providing to each other, on an interim transitional basis, various services.  Transition services may be provided for up to 24 months with an option for a one-year extension by the recipient.  Services being provided by Abbott include certain information technology and back office support.  Billings by Abbott under these transitional services agreements are recorded as a reduction of the costs to provide the respective service in the applicable expense category in the Condensed Consolidated Statement of Earnings.  This transitional support will enable AbbVie to establish its stand-alone processes for various activities that were previously provided by Abbott and does not constitute significant continuing support of AbbVie’s operations.

For a small portion of AbbVie’s operations, the legal transfer of AbbVie’s assets (net of liabilities) did not occur with the separation of AbbVie on January 1, 2013 due to the time required to transfer marketing authorizations and other regulatory requirements in each of these countries.  Under the terms of the separation agreement with Abbott, AbbVie is subject to the risks and entitled to the benefits generated by these operations and assets.  The majority of these operations are expected to be transferred to AbbVie in 2013 with the remainder transferring in 2014.  These assets and liabilities have been presented as held for disposition in the Condensed Consolidated Balance Sheet.  At September 30, 2013, the assets and liabilities held for disposition consist of inventories of $173 million, trade accounts receivable of $338 million, equipment of $31 million, other assets of $74 million, trade accounts payable of $286 million and other liabilities of $69 million.  Abbott’s obligation to transfer the net assets held for disposition to AbbVie of $261 million is included in Other accrued liabilities.

Abbott has retained all liabilities for all U.S. federal and foreign income taxes on income prior to the separation, as well as certain non-income taxes attributable to AbbVie’s business.  AbbVie generally will be liable for all other taxes attributable to its business.  In connection with the separation, Abbott has adjusted its employee stock compensation awards and separated its defined benefit programs for pensions and post-employment medical and dental benefit plans.  See notes 7 and 9 for additional information.

Liquidity and Capital Resources September 30, 2013 Compared with December 31, 2012

The reduction of cash and cash equivalents from $10.8 billion at December 31, 2012 to $2.9 billion at September 30, 2013 reflects the transfer of $5.9 billion of cash and cash equivalents to AbbVie as part of the separation on January 1, 2013 and the investment of cash and cash equivalents in short-term instruments.

Net cash from operating activities for the first nine months 2013 totaled approximately $1.7 billion.  The ($1.583) billion in the Other, net category in net cash from operating activities reflects approximately $435 million of one-time net cash outflows related to the separation of AbbVie, the noncash impact of $433 million for the favorable resolution of various tax positions pertaining to prior years, the first quarter noncash impact of the $103 million tax benefit for the retroactive impact of U.S. tax law changes due to the timing of tax filings, and the effects of $680 million of contributions to defined benefit plans.  Other, net in Net cash from operating activities for 2012 includes payments of approximately $800 million to settle certain government investigations related to AbbVie’s business operations.  In addition, Other, net in Net cash from operating activities for 2012 includes the effects of contributions to defined benefit plans of $360 million. These items were offset by increases in Other accrued liabilities primarily related to cost reduction initiatives and the timing of various payments. Abbott expects annual cash flow from operating activities to continue to exceed Abbott’s capital expenditures and cash dividends.

Working capital was $8.4 billion at September 30, 2013 and $18.0 billion at December 31, 2012.  The decrease in working capital in 2013 is due primarily to the separation of AbbVie from Abbott on January 1, 2013.

Substantially all of Abbott’s trade receivables in Italy, Spain, Portugal, and Greece are with governmental health systems.  Outstanding net governmental receivables in these countries at September 30, 2013 were:  (dollars in millions)

	Net Receivables		Percentage Over One Year Past Due
Italy	$	227	17.2
Spain	162		19.8
Portugal	46		37.3
Greece	27		30.7

Abbott closely monitors economic conditions and budgetary and other fiscal developments in these countries.  Abbott regularly communicates with its customers regarding the status of receivable balances, including their payment plans and obtains positive confirmation of the validity of the receivables.  Abbott also monitors the potential for and periodically has utilized factoring arrangements to mitigate risk although such arrangements were not material in the first nine months of 2013.

22

FINANCIAL REVIEW

(continued)

At September 30, 2013, Abbott’s long-term debt rating was A+ by Standard & Poor’s Corporation and A1 by Moody’s Investors Service.  Abbott has readily available financial resources, including unused lines of credit of $5.0 billion that support commercial paper borrowing arrangements which expire in 2017.

In October 2008, the board of directors authorized the purchase of up to $5 billion of Abbott’s common shares from time to time and 32.9 million and 27.2 million shares were purchased in the first nine months of 2013 and 2012, respectively, under this authorization at a cost of approximately $1.2 billion and $1.6 billion, respectively.  Effective in the second quarter 2013, no additional purchases of common shares will be made from this authorization.  On June 14, 2013, the board of directors authorized the purchase of up to $3.0 billion of Abbott’s common shares from time to time and 9.5 million shares were purchased in the third quarter under this authorization at a cost of $350 million.

In the first three quarters of 2013, Abbott declared a dividend of $0.14 per share each quarter on its common shares.  The change in the dividend compared to 2012 reflects the impact of the separation of AbbVie.  In addition, Abbott announced in October 2013 an increase in the company’s quarterly dividend to $0.22 per share, representing an increase of 57 percent.  The increase will take effect with the dividend to be paid on February 15, 2014 to shareholders of record at the close of business on January 15, 2014.

Legislative Issues

In 2010, the Patient Protection and Affordable Care Act and the Health Care and Education Reconciliation Act (collectively referred to herein as “health care reform legislation”) were signed into law in the U.S.  Beginning in 2013, Abbott started recording a 2.3 percent excise tax imposed by health care reform legislation on the sale of certain medical devices in the U.S.

Abbott’s primary markets are highly competitive and subject to substantial government regulations throughout the world.  Abbott expects debate to continue over the availability, method of delivery, and payment for health care products and services.  It is not possible to predict the extent to which Abbott or the health care industry in general might be adversely affected by these factors in the future.  A more complete discussion of these factors is contained in Item 1, Business, and Item 1A, Risk Factors, in the 2012 Annual Report on Form 10-K/A.

Private Securities Litigation Reform Act of 1995 — A Caution Concerning Forward-Looking Statements

Under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, Abbott cautions investors that any forward-looking statements or projections made by Abbott, including those made in this document, are subject to risks and uncertainties that may cause actual results to differ materially from those projected. Economic, competitive, governmental, technological and other factors that may affect Abbott’s operations are discussed in Item 1A, Risk Factors, in the 2012 Annual Report on Form 10-K/A.

23

PART I.FINANCIAL INFORMATION

Item 4.Controls and Procedures

(a)Evaluation of disclosure controls and procedures.  The Chief Executive Officer, Miles D. White, and Chief Financial Officer, Thomas C. Freyman, evaluated the effectiveness of Abbott Laboratories’ disclosure controls and procedures as of the end of the period covered by this report, and concluded that Abbott Laboratories’ disclosure controls and procedures were effective to ensure that information Abbott is required to disclose in the reports that it files or submits with the Securities and Exchange Commission (the “Commission”) under the Securities Exchange Act of 1934 (the “Exchange Act”) is recorded, processed, summarized and reported, within the time periods specified in the Commission’s rules and forms, and to ensure that information required to be disclosed by Abbott in the reports that it files or submits under the Exchange Act is accumulated and communicated to Abbott’s management, including its principal executive officer and principal financial officer, as appropriate to allow timely decisions regarding required disclosure.

(b)Changes in internal control over financial reporting.  During the quarter ended September 30, 2013, there were no changes in Abbott’s internal control over financial reporting (as defined in Rule 13a-15(f) under the Exchange Act) that have materially affected, or are reasonably likely to materially affect, Abbott’s internal control over financial reporting.

PART II.OTHER INFORMATION

Item 1.Legal Proceedings

Abbott is involved in various claims, legal proceedings and investigations, including (as of September 30, 2013, except where noted below) those described below.  While it is not feasible to predict the outcome of such pending claims, proceedings and investigations with certainty, management is of the opinion that their ultimate resolution should not have a material adverse effect on Abbott’s financial position, cash flows, or results of operations.

In its 2012 Annual Report on Form 10-K/A and Form 10-Q for the quarter ended June 30, 2013, Abbott reported that Cordis Corporation and Wyeth sued Abbott in the United States District Court for the District of New Jersey alleging that the Xience V stent infringes certain of their patents, and that in June 2013, the appeals court affirmed the district court’s order invalidating the patents.  On October 11, 2013, the appeals court denied Cordis and Wyeth’s petition for rehearing or rehearing en banc.

24

Item 2.Unregistered Sales of Equity Securities and Use of Proceeds

(c)  Issuer Purchases of Equity Securities

Period	(a) Total Number of Shares (or Units) Purchased		(b) Average Price Paid per Share (or Unit)		(c) Total Number of Shares (or Units) Purchased as Part of Publicly Announced Plans or Programs	(d) Maximum Number (or Approximate Dollar Value) of Shares (or Units) that May Yet Be Purchased Under the Plans or Programs
July 1, 2013 — July 31, 2013	7,040,944	(1)	$	36.676	7,000,000	$	2,743,250,000	(2)
August 1, 2013 — August 31, 2013	2,608,974	(1)	$	36.799	2,530,591	$	2,650,000,001	(2)
September 1, 2013 — September 30, 2013	44,039	(1)	$	34.829	0	$	2,650,000,001	(2)
Total	9,693,957	(1)	$	36.701	9,530,591	$	2,650,000,001	(2)

(1)These shares include:

(i)the shares deemed surrendered to Abbott to pay the exercise price in connection with the exercise of employee stock options — 40,944 in July, 45,153 in August, and 10,809 in September; and

(ii)the shares purchased on the open market for the benefit of participants in the Abbott Laboratories, Limited Employee Stock Purchase Plan -  0 in July, 33,230 in August, and 33,230 in September.

These shares do not include the shares surrendered to Abbott to satisfy tax withholding obligations in connection with the vesting of restricted stock or restricted stock units.

(2)On June 14, 2013, Abbott announced that its board of directors approved the purchase of up to $3 billion of its common shares, from time to time.

25

Item 6.Exhibits

Incorporated by reference to the Exhibit Index included herewith.

26

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

		ABBOTT LABORATORIES
	By:	/s/ Thomas C. Freyman
		Thomas C. Freyman
		Executive Vice President,
		Finance and Chief Financial Officer
Date: November 7, 2013

27

EXHIBIT INDEX

Exhibit No.	Exhibit
12	Statement re: computation of ratio of earnings to fixed charges.
31.1	Certification of Chief Executive Officer Required by Rule 13a-14(a) (17 CFR 240.13a-14(a)).
31.2	Certification of Chief Financial Officer Required by Rule 13a-14(a) (17 CFR 240.13a-14(a)).
Exhibits 32.1 and 32.2 are furnished herewith and should not be deemed to be “filed” under the Securities Exchange Act of 1934.
32.1	Certification of Chief Executive Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
32.2	Certification of Chief Financial Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
101	The following financial statements and notes from the Abbott Laboratories Quarterly Report on Form 10-Q for the quarter ended September 30, 2013, filed on November 7, 2013, formatted in XBRL: (i)  Condensed Consolidated Statement of Earnings; (ii) Condensed Consolidated Statement of Cash Flows; (iii) Condensed Consolidated Balance Sheet; and (iv) the notes to the condensed consolidated financial statements.

28

EX-12

Exhibit 12

Abbott Laboratories

Computation of Ratio of Earnings to Fixed Charges

(Unaudited)

(dollars in millions)

	Nine Months Ended
	September 30, 2013
Net Earnings from Continuing Operations	$	1,794
Add (deduct):
Taxes on earnings from continuing operations	(10		)
Capitalized interest cost, net of amortization	(3		)
Noncontrolling interests	9
Earnings from Continuing Operations, as adjusted	1,790
Fixed Charges:
Interest on long-term and short-term debt	121
Capitalized interest cost	6
Rental expense representative of an interest factor	44
Total Fixed Charges	171
Total adjusted earnings from continuing operations available for payment of fixed charges	$	1,961
Ratio of earnings from continuing operations to fixed charges	11.5

NOTE:  For the purpose of calculating this ratio, (i) earnings from continuing operations have been calculated by adjusting earnings from continuing operations for taxes on earnings from continuing operations; interest expense; capitalized interest cost, net of amortization; noncontrolling interests; and the portion of rentals representative of the interest factor, (ii) Abbott considers one-third of rental expense to be the amount representing return on capital, and (iii) fixed charges comprise total interest expense, including capitalized interest and such portion of rentals.

EX-31.1

Exhibit 31.1

Certification of Chief Executive Officer

Required by Rule 13a-14(a) (17 CFR 240.13a-14(a))

I, Miles D. White, certify that:

1.I have reviewed this quarterly report on Form 10-Q of Abbott Laboratories;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of Abbott as of, and for, the periods presented in this report;

4.Abbott’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for Abbott and have:

a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to Abbott, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c)Evaluated the effectiveness of Abbott’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d)Disclosed in this report any change in Abbott’s internal control over financial reporting that occurred during Abbott’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, Abbott’s internal control over financial reporting; and

5.Abbott’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to Abbott’s auditors and the audit committee of Abbott’s board of directors:

a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect Abbott’s ability to record, process, summarize and report financial information; and

b)Any fraud, whether or not material, that involves management or other employees who have a significant role in Abbott’s internal control over financial reporting.

Date: November 7, 2013	/s/ Miles D. White
	Miles D. White, Chairman of the Board
	and Chief Executive Officer

EX-31.2

Exhibit 31.2

Certification of Chief Financial Officer

Required by Rule 13a-14(a) (17 CFR 240.13a-14(a))

I, Thomas C. Freyman, certify that:

1.I have reviewed this quarterly report on Form 10-Q of Abbott Laboratories;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of Abbott as of, and for, the periods presented in this report;

4.Abbott’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for Abbott and have:

a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to Abbott, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c)Evaluated the effectiveness of Abbott’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d)Disclosed in this report any change in Abbott’s internal control over financial reporting that occurred during Abbott’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, Abbott’s internal control over financial reporting; and

5.Abbott’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to Abbott’s auditors and the audit committee of Abbott’s board of directors:

a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect Abbott’s ability to record, process, summarize and report financial information; and

b)Any fraud, whether or not material, that involves management or other employees who have a significant role in Abbott’s internal control over financial reporting.

Date: November 7, 2013	/s/ Thomas C. Freyman
	Thomas C. Freyman, Executive Vice President,
	Finance and Chief Financial Officer

EX-32.1

Exhibit 32.1

Certification Pursuant To

18 U.S.C. Section 1350

As Adopted Pursuant To

Section 906 of the Sarbanes-Oxley Act of 2002

In connection with the Quarterly Report of Abbott Laboratories (the “Company”) on Form 10-Q for the period ended September 30, 2013 as filed with the Securities and Exchange Commission (the “Report”), I, Miles D. White, Chairman of the Board and Chief Executive Officer of the Company, certify, pursuant to 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes-Oxley Act of 2002, that:

(1)The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2)The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ Miles D. White

Miles D. White

Chairman of the Board and

Chief Executive Officer

November 7, 2013

A signed original of this written statement required by Section 906 has been provided to Abbott Laboratories and will be retained by Abbott Laboratories and furnished to the Securities and Exchange Commission or its staff upon request.

EX-32.2

Exhibit 32.2

Certification Pursuant To

18 U.S.C. Section 1350

As Adopted Pursuant To

Section 906 of the Sarbanes-Oxley Act of 2002

In connection with the Quarterly Report of Abbott Laboratories (the “Company”) on Form 10-Q for the period ended September 30, 2013 as filed with the Securities and Exchange Commission (the “Report”), I, Thomas C. Freyman, Executive Vice President, Finance and Chief Financial Officer of the Company, certify, pursuant to 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes-Oxley Act of 2002, that:

(1)The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2)The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ Thomas C. Freyman

Thomas C. Freyman

Executive Vice President, Finance

and Chief Financial Officer

November 7, 2013

A signed original of this written statement required by Section 906 has been provided to Abbott Laboratories and will be retained by Abbott Laboratories and furnished to the Securities and Exchange Commission or its staff upon request.

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Business Acquisitions

9 Months Ended

Sep. 30, 2013

Business Acquisitions

Business Acquisitions

Note 10 — Business Acquisitions

In August 2013, Abbott acquired 100 percent of IDEV Technologies, net of debt, for $310 million, in cash. The acquisition of IDEV Technologies expands Abbott’s endovascular portfolio. The preliminary allocation of the fair value of the acquisition resulted in non-deductible acquired in-process research and development of approximately $200 million which is accounted for as an indefinite-lived intangible asset until regulatory approval or discontinuation, non-deductible definite-lived intangible assets of approximately $90 million, non-deductible goodwill of approximately $90 million and net deferred tax liabilities of $80 million. Acquired intangible assets consist of developed technology and are being amortized over 11 years.

In August 2013, Abbott acquired 100 percent of OptiMedica for $260 million, in cash, plus additional payments up to $150 million to be made upon completion of certain development, regulatory and sales milestones. The acquisition of OptiMedica provides Abbott with an immediate entry point into the laser assisted cataract surgery market.  The preliminary allocation of the fair value of the acquisition resulted in non-deductible definite-lived intangible assets of approximately $165 million, non-deductible acquired in-process research and development of approximately $60 million which is accounted for as an indefinite-lived intangible asset until regulatory approval or discontinuation, non-deductible goodwill of approximately $145 million, net deferred tax liabilities of $70 million and contingent consideration of approximately $60 million.  The fair value of the contingent consideration was determined based on an independent appraisal. Acquired intangible assets consist of developed technology and are being amortized over 18 years.

The preliminary allocations of the fair value of these acquisitions will be finalized when the appraisals are completed.  Had the above acquisitions taken place on January 1 of the previous year, consolidated net sales and income would not have been significantly different from reported amounts.

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Condensed Consolidated Statement of Comprehensive Income (Parenthetical) (USD $) In Thousands, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Condensed Consolidated Statement of Comprehensive Income
Net actuarial gains (losses) and amortization of net actuarial losses and prior service cost and credits, taxes	$ 8,905	$ 18,122	$ (32,244)	$ 63,737
Unrealized (losses) gains on marketable equity securities, taxes	(4,342)	2,238	(2,475)	4,679
Net adjustments for derivative instruments designated as cash flow hedges and other, taxes	$ (2,666)	$ (9,537)	$ (8,539)	$ (20,664)

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Supplemental Financial Information

9 Months Ended

Sep. 30, 2013

Supplemental Financial Information

Supplemental Financial Information

Note 3 — Supplemental Financial Information

Unvested restricted stock that contain non-forfeitable rights to dividends are treated as participating securities and are included in the computation of earnings per share under the two-class method.  Under the two-class method, net earnings are allocated between common shares and participating securities.  Net earnings allocated to common shares for the three months and nine months ended September 30, 2013 were $959 million and $1.973 billion, respectively, and net earnings allocated to common shares for the three months and nine months ended September 30, 2012 were $1.928 billion and $4.871 billion, respectively.

Other (income) expense, net, in the third quarter of 2013 primarily relates to gains from the sales of equity securities.  Other, net in Net cash from operating activities for 2013 includes the recognition of $433 million of tax benefits in the third quarter as a result of the favorable resolution of various tax positions pertaining to prior years. Other, net in Net cash from operating activities for 2012 includes payments of approximately $800 million to settle certain government investigations related to AbbVie’s business operations and the recognition of $386 million of tax benefits in the third quarter as a result of the favorable resolution of various tax positions pertaining to a prior year.  These items were offset by increases in Other accrued liabilities primarily related to cost reduction initiatives and the timing of various payments.  Other, net in Net cash from operating activities for 2013 and 2012 includes the effects of contributions to defined benefit plans of approximately $680 million and $360 million, respectively.

The components of long-term investments as of September 30, 2013 and December 31, 2012 are as follows:

	September 30		December 31
(dollars in millions)	2013		2012
Equity securities	$	114	$	213
Other	29		61
Total	$	143	$	274

The reduction in long-term investments from December 31, 2012 to September 30, 2013 is due primarily to the separation of AbbVie on January 1, 2013.

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Post-Employment Benefits (Tables)

9 Months Ended

Sep. 30, 2013

Post-Employment Benefits

Net cost for the entity's major defined benefit plans and post-employment medical and dental benefit plans

	Defined Benefit Plans												Medical and Dental Plans
	Three Months						Nine Months						Three Months						Nine Months
	Ended Sept. 30						Ended Sept. 30						Ended Sept. 30						Ended Sept. 30
(dollars in millions)	2013			2012			2013			2012			2013			2012			2013			2012
Service cost — benefits earned during the period	$	70		$	57		$	222		$	175		$	10		$	8		$	33		$	24
Interest cost on projected benefit obligations	66			66			198			199			15			10			45			32
Expected return on plans’ assets	(109		)	(90		)	(296		)	(272		)	(9		)	(4		)	(27		)	(13		)
Net amortization	41			33			123			106			(1		)	(1		)	(1		)	(3		)
Net Cost	$	68		$	66		$	247		$	208		$	15		$	13		$	50		$	40

Summary of projected benefit obligations and assets transferred, based on the final actuarial valuations

(dollars in millions)	Defined BenefitPlans		Medical and Dental Plans
Projected benefit obligations	$	4,534	$	472
Plans’ assets	3,111		—
Net obligation transferred to AbbVie	$	1,423	$	472

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Financial Instruments, Derivatives and Fair Value Measures

9 Months Ended

Sep. 30, 2013

Financial Instruments, Derivatives and Fair Value Measures

Financial Instruments, Derivatives and Fair Value Measures

Note 11 — Financial Instruments, Derivatives and Fair Value Measures

Certain Abbott foreign subsidiaries enter into foreign currency forward exchange contracts to manage exposures to changes in foreign exchange rates for anticipated intercompany purchases by those subsidiaries whose functional currencies are not the U.S. dollar.  These contracts, totaling $192 million and $1.6 billion at September 30, 2013 and December 31, 2012, respectively, are designated as cash flow hedges of the variability of the cash flows due to changes in foreign exchange rates and are recorded at fair value.  Contracts totaling $1.0 billion were transferred to AbbVie as part of the separation on January 1, 2013.  Accumulated gains and losses as of September 30, 2013 will be included in Cost of products sold at the time the products are sold, generally through the next twelve months.  The amount of hedge ineffectiveness was not significant in 2013 and 2012.

Abbott enters into foreign currency forward exchange contracts to manage currency exposures for foreign currency denominated third-party trade payables and receivables, and for intercompany loans and trade accounts payable where the receivable or payable is denominated in a currency other than the functional currency of the entity.  For intercompany loans, the contracts require Abbott to sell or buy foreign currencies, primarily European currencies and Japanese yen, in exchange for primarily U.S. dollars and other European currencies.  For intercompany and trade payables and receivables, the currency exposures are primarily the U.S. dollar, European currencies and Japanese yen.  At September 30, 2013 and December 31, 2012, Abbott held $11.6 billion and $18.2 billion, respectively, of such foreign currency forward exchange contracts, of which $4.3 billion of these contracts were transferred to AbbVie as part of the separation on January 1, 2013.

Abbott has designated foreign denominated short-term debt as a hedge of the net investment in a foreign subsidiary of approximately $540 million and approximately $615 million as of September 30, 2013 and December 31, 2012, respectively.  Accordingly, changes in the fair value of this debt due to changes in exchange rates are recorded in Accumulated other comprehensive income (loss), net of tax.

Abbott is a party to interest rate swap contracts totaling approximately $1.5 billion at September 30, 2013 and $9.5 billion at December 31, 2012 to manage its exposure to changes in the fair value of fixed-rate debt.  $8.0 billion of these contracts related to debt issued by AbbVie Inc. in the fourth quarter of 2012 and were transferred to AbbVie as part of the separation on January 1, 2013. These contracts are designated as fair value hedges of the variability of the fair value of fixed-rate debt due to changes in the long-term benchmark interest rates.  The effect of the hedge is to change a fixed-rate interest obligation to a variable rate for that portion of the debt.  Abbott records the contracts at fair value and adjusts the carrying amount of the fixed-rate debt by an offsetting amount.  No hedge ineffectiveness was recorded in income in 2013 or 2012 for these hedges.

The following table summarizes the amounts and location of certain derivative financial instruments as of September 30, 2013 and December 31, 2012:

	Fair Value - Assets					Fair Value - Liabilities
(dollars in millions)	Sept. 30 2013		Dec. 31 2012		Balance Sheet Caption	Sept. 30 2013		Dec. 31 2012		Balance Sheet Caption
Interest rate swaps designated as fair value hedges	$	114	$	185	Deferred income taxes and other assets	$	—	$	80	Post-employment obligations, deferred income taxes and other long-term liabilities
Foreign currency forward exchange contracts —
Hedging instruments	10		22		Prepaid expenses,	—		11		Other accrued liabilities
Others not designated as hedges	90		98		deferred income taxes, and other receivables	86		135
Debt designated as a hedge of net investment in a foreign subsidiary	—		—		n/a	540		615		Short-term borrowings
	$	214	$	305		$	626	$	841

The following table summarizes the activity for foreign currency forward exchange contracts designated as cash flow hedges, debt designated as a hedge of net investment in a foreign subsidiary and the amounts and location of income (expense) and gain (loss) reclassified into income in the third quarter and first nine months of 2013 and 2012 and for certain other derivative financial instruments.  The amount of hedge ineffectiveness was not significant in 2013 and 2012 for these hedges.

	Gain (loss) Recognized in Other Comprehensive Income (loss)										Income (expense) and Gain (loss) Reclassified into Income
	Three Months					Nine Months					Three Months					Nine Months
	Ended Sept. 30					Ended Sept. 30					Ended Sept. 30					Ended Sept. 30					Income Statement
(dollars in millions)	2013		2012			2013		2012			2013			2012		2013			2012		Caption
Foreign currency forward exchange contracts designated as cash flow hedges	$	—	$	(7	)	$	31	$	(9	)	$	15		$	36	$	29		$	75	Cost of products sold
Debt designated as a hedge of net investment in a foreign subsidiary	—		(15		)	75		(5		)	n/a			n/a		n/a			n/a		n/a
Interest rate swaps designated as fair value hedges	n/a		n/a			n/a		n/a			10			78		(71		)	161		Interest expense
Foreign currency forward exchange contracts not designated as hedges	n/a		n/a			n/a		n/a			(70		)	7		70			145		Net foreign exchange loss (gain)

The interest rate swaps are designated as fair value hedges of the variability of the fair value of fixed-rate debt due to changes in the long-term benchmark interest rates.  The hedged debt is marked to market, offsetting the effect of marking the interest rate swaps to market.

The carrying values and fair values of certain financial instruments as of September 30, 2013 and December 31, 2012 are shown in the table below. The carrying values of all other financial instruments approximate their estimated fair values.  The counterparties to financial instruments consist of select major international financial institutions.  Abbott does not expect any losses from nonperformance by these counterparties.

	September 30 2013						December 31 2012
(dollars in millions)	Carrying Value			Fair Value			Carrying Value			Fair Value
Long-term Investment Securities:
Equity securities	$	114		$	114		$	213		$	213
Other	29			26			61			56
Total Long-term Debt	(3,667		)	(4,157		)	(18,394		)	(19,588		)
Foreign Currency Forward Exchange Contracts:
Receivable position	100			100			120			120
(Payable) position	(86		)	(86		)	(146		)	(146		)
Interest Rate Hedge Contracts
Receivable position	114			114			185			185
(Payable) position	—			—			(80		)	(80		)

The fair value of the debt was determined based on significant other observable inputs, including current interest rates.

The following table summarizes the bases used to measure certain assets and liabilities at fair value on a recurring basis in the balance sheet:

			Basis of Fair Value Measurement
			Quoted		Significant
			Prices in		Other		Significant
	Outstanding		Active		Observable		Unobservable
(dollars in millions)	Balances		Markets		Inputs		Inputs
September 30, 2013:
Equity securities	$	49	$	49	$	—	$	—
Interest rate swap derivative financial instruments	114		—		114		—
Foreign currency forward exchange contracts	100		—		100		—
Total Assets	$	263	$	49	$	214	$	—
Fair value of hedged long-term debt	$	1,640	$	—	$	1,640	$	—
Foreign currency forward exchange contracts	86		—		86		—
Contingent consideration related to business combinations	265		—		—		265
Total Liabilities	$	1,991	$	—	$	1,726	$	265
December 31, 2012:
Equity securities	$	76	$	76	$	—	$	—
Interest rate swap derivative financial instruments	185		—		185		—
Foreign currency forward exchange contracts	120		—		120		—
Total Assets	$	381	$	76	$	305	$	—
Fair value of hedged long-term debt	$	9,632	$	—	$	9,632	$	—
Interest rate swap derivative financial instruments	80		—		80		—
Foreign currency forward exchange contracts	146		—		146		—
Contingent consideration related to business combinations	323		—		—		323
Total Liabilities	$	10,181	$	—	$	9,858	$	323

The fair value of the debt was determined based on the face value of the debt adjusted for the fair value of the interest rate swaps, which is based on a discounted cash flow analysis.  The fair value of the contingent consideration was determined based on an independent appraisal adjusted for the time value of money, exchange, payments and other changes in fair value. The balance at September 30, 2013 reflects contingent consideration related to the acquisition of OptiMedica.

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Business Acquisitions (Details) (USD $) In Millions, unless otherwise specified	9 Months Ended	1 Months Ended
	Sep. 30, 2013	Aug. 31, 2013 IDEV Technologies	Aug. 31, 2013 OptiMedica
Business acquisitions
Percentage of voting interest acquired		100.00%	100.00%
Cash paid for business acquisition		$ 310	$ 260
Additional payments upon completion of certain development, regulatory and sales milestones			150
Non-deductible acquired in-process research and development		200	60
Non-deductible definite-lived intangible assets		90	165
Non-deductible goodwill		90	145
Net deferred tax liabilities		80	70
Contingent consideration			$ 60
Amortization period of acquired intangible assets	11 years	11 years	18 years

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Financial Instruments, Derivatives and Fair Value Measures (Tables)

9 Months Ended

Sep. 30, 2013

Financial Instruments, Derivatives and Fair Value Measures

Summary of the amounts and location of certain derivative financial instruments

	Fair Value - Assets					Fair Value - Liabilities
(dollars in millions)	Sept. 30 2013		Dec. 31 2012		Balance Sheet Caption	Sept. 30 2013		Dec. 31 2012		Balance Sheet Caption
Interest rate swaps designated as fair value hedges	$	114	$	185	Deferred income taxes and other assets	$	—	$	80	Post-employment obligations, deferred income taxes and other long-term liabilities
Foreign currency forward exchange contracts —
Hedging instruments	10		22		Prepaid expenses,	—		11		Other accrued liabilities
Others not designated as hedges	90		98		deferred income taxes, and other receivables	86		135
Debt designated as a hedge of net investment in a foreign subsidiary	—		—		n/a	540		615		Short-term borrowings
	$	214	$	305		$	626	$	841

Schedule of derivatives gain (loss) in OCI and earnings

	Gain (loss) Recognized in Other Comprehensive Income (loss)										Income (expense) and Gain (loss) Reclassified into Income
	Three Months					Nine Months					Three Months					Nine Months
	Ended Sept. 30					Ended Sept. 30					Ended Sept. 30					Ended Sept. 30					Income Statement
(dollars in millions)	2013		2012			2013		2012			2013			2012		2013			2012		Caption
Foreign currency forward exchange contracts designated as cash flow hedges	$	—	$	(7	)	$	31	$	(9	)	$	15		$	36	$	29		$	75	Cost of products sold
Debt designated as a hedge of net investment in a foreign subsidiary	—		(15		)	75		(5		)	n/a			n/a		n/a			n/a		n/a
Interest rate swaps designated as fair value hedges	n/a		n/a			n/a		n/a			10			78		(71		)	161		Interest expense
Foreign currency forward exchange contracts not designated as hedges	n/a		n/a			n/a		n/a			(70		)	7		70			145		Net foreign exchange loss (gain)

Schedule of carrying values and fair values of certain financial instruments

	September 30 2013						December 31 2012
(dollars in millions)	Carrying Value			Fair Value			Carrying Value			Fair Value
Long-term Investment Securities:
Equity securities	$	114		$	114		$	213		$	213
Other	29			26			61			56
Total Long-term Debt	(3,667		)	(4,157		)	(18,394		)	(19,588		)
Foreign Currency Forward Exchange Contracts:
Receivable position	100			100			120			120
(Payable) position	(86		)	(86		)	(146		)	(146		)
Interest Rate Hedge Contracts
Receivable position	114			114			185			185
(Payable) position	—			—			(80		)	(80		)

Schedule of assets and liabilities measured at fair value on a recurring basis

			Basis of Fair Value Measurement
			Quoted		Significant
			Prices in		Other		Significant
	Outstanding		Active		Observable		Unobservable
(dollars in millions)	Balances		Markets		Inputs		Inputs
September 30, 2013:
Equity securities	$	49	$	49	$	—	$	—
Interest rate swap derivative financial instruments	114		—		114		—
Foreign currency forward exchange contracts	100		—		100		—
Total Assets	$	263	$	49	$	214	$	—
Fair value of hedged long-term debt	$	1,640	$	—	$	1,640	$	—
Foreign currency forward exchange contracts	86		—		86		—
Contingent consideration related to business combinations	265		—		—		265
Total Liabilities	$	1,991	$	—	$	1,726	$	265
December 31, 2012:
Equity securities	$	76	$	76	$	—	$	—
Interest rate swap derivative financial instruments	185		—		185		—
Foreign currency forward exchange contracts	120		—		120		—
Total Assets	$	381	$	76	$	305	$	—
Fair value of hedged long-term debt	$	9,632	$	—	$	9,632	$	—
Interest rate swap derivative financial instruments	80		—		80		—
Foreign currency forward exchange contracts	146		—		146		—
Contingent consideration related to business combinations	323		—		—		323
Total Liabilities	$	10,181	$	—	$	9,858	$	323

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Incentive Stock Programs (Tables)

9 Months Ended

Sep. 30, 2013

Incentive Stock Programs

Options outstanding and exercisable

	Outstanding		Exercisable
Number of shares	45,693,210		38,893,329
Weighted average remaining life (years)	4.0		3.2
Weighted average exercise price	$	26.22	$	25.12
Aggregate intrinsic value (in millions)	$	338	$	324

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Post-Employment Benefits (Details) (USD $)				3 Months Ended		9 Months Ended		0 Months Ended	3 Months Ended		9 Months Ended		0 Months Ended
	Sep. 30, 2013	Dec. 31, 2012	Jan. 02, 2013 AbbVie	Sep. 30, 2013 Defined Benefit Plans	Sep. 30, 2012 Defined Benefit Plans	Sep. 30, 2013 Defined Benefit Plans	Sep. 30, 2012 Defined Benefit Plans	Jan. 02, 2013 Defined Benefit Plans AbbVie	Sep. 30, 2013 Medical and Dental Plans	Sep. 30, 2012 Medical and Dental Plans	Sep. 30, 2013 Medical and Dental Plans	Sep. 30, 2012 Medical and Dental Plans	Jan. 02, 2013 Medical and Dental Plans AbbVie
Defined benefit plan net periodic benefit cost
Service cost - benefits earned during the period				$ 70,000,000	$ 57,000,000	$ 222,000,000	$ 175,000,000		$ 10,000,000	$ 8,000,000	$ 33,000,000	$ 24,000,000
Interest cost on projected benefit obligations				66,000,000	66,000,000	198,000,000	199,000,000		15,000,000	10,000,000	45,000,000	32,000,000
Expected return on plans' assets				(109,000,000)	(90,000,000)	(296,000,000)	(272,000,000)		(9,000,000)	(4,000,000)	(27,000,000)	(13,000,000)
Net amortization				41,000,000	33,000,000	123,000,000	106,000,000		(1,000,000)	(1,000,000)	(1,000,000)	(3,000,000)
Net cost				68,000,000	66,000,000	247,000,000	208,000,000		15,000,000	13,000,000	50,000,000	40,000,000
Domestic pension plans funded during the period						680,000,000	360,000,000				40,000,000	40,000,000
Net defined benefit obligation
Projected benefit obligations								4,534,000,000					472,000,000
Plans' assets								3,111,000,000
Net obligation transferred to AbbVie								1,423,000,000					472,000,000
Accumulated other comprehensive income (loss), net of income taxes transferred	$ (2,956,510,000)	$ (3,593,678,000)	$ 1,200,000,000

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Financial Instruments, Derivatives and Fair Value Measures (Details 2) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Net investment hedges | Designated as hedging instrument
Gain (loss) on derivatives
Gain (loss) Recognized in Other Comprehensive Income (loss)		$ (15)	$ 75	$ (5)
Interest rate swaps | Fair value hedges | Designated as hedging instrument | Interest expense
Gain (loss) on derivatives
Gain (loss) Reclassified into Income	10	78	(71)	161
Foreign currency forward exchange contracts | Not designated as hedging instrument | Net foreign exchange loss (gain)
Gain (loss) on derivatives
Income (expense)	(70)	7	70	145
Foreign currency forward exchange contracts | Cash flow hedges | Designated as hedging instrument | Cost of products sold
Gain (loss) on derivatives
Gain (loss) Recognized in Other Comprehensive Income (loss)		(7)	31	(9)
Gain (loss) Reclassified into Income	$ 15	$ 36	$ 29	$ 75

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Other Comprehensive Income (Details) (USD $)			3 Months Ended		9 Months Ended		3 Months Ended		9 Months Ended		3 Months Ended		9 Months Ended		3 Months Ended		9 Months Ended
	Sep. 30, 2013	Dec. 31, 2012	Sep. 30, 2013 Cumulative Foreign Currency Translation Adjustments	Sep. 30, 2012 Cumulative Foreign Currency Translation Adjustments	Sep. 30, 2013 Cumulative Foreign Currency Translation Adjustments	Sep. 30, 2012 Cumulative Foreign Currency Translation Adjustments	Sep. 30, 2013 Net Actuarial Losses and Prior Service Costs and Credits	Sep. 30, 2012 Net Actuarial Losses and Prior Service Costs and Credits	Sep. 30, 2013 Net Actuarial Losses and Prior Service Costs and Credits	Sep. 30, 2012 Net Actuarial Losses and Prior Service Costs and Credits	Sep. 30, 2013 Cumulative Unrealized Gains on Marketable Equity Securities	Sep. 30, 2012 Cumulative Unrealized Gains on Marketable Equity Securities	Sep. 30, 2013 Cumulative Unrealized Gains on Marketable Equity Securities	Sep. 30, 2012 Cumulative Unrealized Gains on Marketable Equity Securities	Sep. 30, 2013 Cumulative Gains on Derivative Instruments Designated as Cash Flow Hedges	Sep. 30, 2012 Cumulative Gains on Derivative Instruments Designated as Cash Flow Hedges	Sep. 30, 2013 Cumulative Gains on Derivative Instruments Designated as Cash Flow Hedges	Sep. 30, 2012 Cumulative Gains on Derivative Instruments Designated as Cash Flow Hedges
Other comprehensive income from continuing operations, net of income taxes
Balance at the beginning of the period	$ (2,956,510,000)	$ (3,593,678,000)	$ (887,000,000)	$ (768,000,000)	$ (79,000,000)	$ (73,000,000)	$ (2,408,000,000)	$ (2,586,000,000)	$ (3,596,000,000)	$ (2,731,000,000)	$ 34,000,000	$ 16,000,000	$ 31,000,000	$ 38,000,000	$ 35,000,000	$ 120,000,000	$ 50,000,000	$ 167,000,000
Separation of AbbVie					(208,000,000)	(8,000,000)			1,351,000,000	66,000,000				(26,000,000)			8,000,000	(5,000,000)
Other comprehensive income (loss) before reclassifications			270,000,000	515,000,000	(330,000,000)	(136,000,000)	(8,000,000)		(227,000,000)		3,000,000	4,000,000	17,000,000	9,000,000	12,000,000	(8,000,000)	(8,000,000)	(11,000,000)
Income (loss) amounts reclassified from accumulated other comprehensive income						(36,000,000)	26,000,000	32,000,000	82,000,000	111,000,000	(10,000,000)		(21,000,000)	(1,000,000)	(23,000,000)	(36,000,000)	(26,000,000)	(75,000,000)
Net current period comprehensive income (loss) from continuing operations			270,000,000	515,000,000	(330,000,000)	(172,000,000)	18,000,000	32,000,000	(145,000,000)	111,000,000	(7,000,000)	4,000,000	(4,000,000)	8,000,000	(11,000,000)	(44,000,000)	(34,000,000)	(86,000,000)
Balance at the end of the period	$ (2,956,510,000)	$ (3,593,678,000)	$ (617,000,000)	$ (253,000,000)	$ (617,000,000)	$ (253,000,000)	$ (2,390,000,000)	$ (2,554,000,000)	$ (2,390,000,000)	$ (2,554,000,000)	$ 27,000,000	$ 20,000,000	$ 27,000,000	$ 20,000,000	$ 24,000,000	$ 76,000,000	$ 24,000,000	$ 76,000,000

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Goodwill and Intangible Assets (Details) (USD $)	9 Months Ended	12 Months Ended	0 Months Ended		9 Months Ended
	Sep. 30, 2013	Dec. 31, 2012	Jan. 02, 2013 AbbVie	Sep. 30, 2013 AbbVie	Sep. 30, 2013 Minimum	Sep. 30, 2013 Maximum	Sep. 30, 2013 Established Pharmaceutical Products	Sep. 30, 2013 Nutritional Products	Sep. 30, 2013 Diagnostic Products	Sep. 30, 2013 Vascular Products	Sep. 30, 2013 IDEV Technologies and OptiMedica
Goodwill and intangible assets information
Goodwill on acquisition							$ 2,900,000,000	$ 210,000,000	$ 386,000,000	$ 2,800,000,000	$ 235,000,000
Amount of goodwill transferred			6,100,000,000
Amount of reductions of goodwill relating to the disposal of all or a portion of a business other than the effects of the separation of AbbVie	0
Amount of reduction of goodwill relating to impairments	0
Change in goodwill due to foreign currency translation and other adjustments	155,000,000	0
Gross amount of amortizable intangible assets	12,000,000,000	17,600,000,000		5,800,000,000
Accumulated amortization of intangible assets	6,600,000,000	9,700,000,000		3,900,000,000
Indefinite-lived intangible assets related to in-process research and development acquired in a business combination	520,000,000	691,000,000		416,000,000
Estimated annual amortization expense, intangible assets, 2013	800,000,000
Estimated annual amortization expense, intangible assets, 2014	685,000,000
Estimated annual amortization expense, intangible assets, 2015	635,000,000
Estimated annual amortization expense, intangible assets, 2016	620,000,000
Estimated annual amortization expense, intangible assets, 2017	$ 585,000,000
Average amortization period, intangible assets	11 years				4 years	20 years

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Segment Information (Tables)

9 Months Ended

Sep. 30, 2013

Segment Information

Schedule of segment and geographic area information

	Net Sales to External Customers								Operating Earnings
	Three Months				Nine Months				Three Months						Nine Months
	Ended Sept. 30				Ended Sept. 30				Ended Sept. 30						Ended Sept. 30
(dollars in millions)	2013		2012		2013		2012		2013			2012			2013			2012
Established Pharmaceutical Products	$	1,235	$	1,272	$	3,685	$	3,775	$	341		$	351		$	884		$	913
Nutritional Products	1,635		1,603		5,038		4,746		260			245			915			719
Diagnostic Products	1,125		1,042		3,349		3,162		250			202			752			629
Vascular Products	747		743		2,240		2,311		266			247			675			763
Total Reportable Segments	4,742		4,660		14,312		13,994		1,117			1,045			3,226			3,024
Other	627		605		1,881		1,868
Net Sales	$	5,369	$	5,265	$	16,193	$	15,862
Corporate functions and benefit plans costs									(117		)	(164		)	(364		)	(507		)
Non-reportable segments									89			98			276			285
Net interest expense									(24		)	(88		)	(73		)	(218		)
Share-based compensation (a)									(45		)	(51		)	(222		)	(236		)
Amortization of intangible assets									(197		)	(195		)	(593		)	(599		)
Other, net (b)									(195		)	(414		)	(467		)	(525		)
Consolidated Earnings from Continuing Operations Before Taxes									$	628		$	231		$	1,783		$	1,224

(a) Approximately 40 to 45 percent of the annual net cost of share-based awards will typically be recognized in the first quarter due to the timing of the granting of share-based awards.

(b) The decrease in Other, net, in the third quarter of 2013 is due primarily to lower expenses in 2013 related to cost reduction initiatives compared to 2012.

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Condensed Consolidated Balance Sheet (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
Current Assets:
Cash and cash equivalents	$ 2,882,454	$ 10,802,163
Investments, primarily bank time deposits and U.S. treasury bills	5,723,030	4,371,821
Trade receivables, less allowances of $340,899 in 2013 and $405,921 in 2012	3,882,803	7,612,860
Inventories:
Finished products	1,911,394	2,345,455
Work in process	379,143	628,874
Materials	513,533	817,984
Total inventories	2,804,070	3,792,313
Prepaid expenses, deferred income taxes, and other receivables	3,917,616	4,743,426
Current assets held for disposition	538,976
Total Current Assets	19,748,949	31,322,583
Investments	142,527	273,595
Property and Equipment, at Cost	12,714,200	18,928,887
Less: accumulated depreciation and amortization	6,871,831	10,865,840
Net Property and Equipment	5,842,369	8,063,047
Intangible Assets, net of amortization	5,926,873	8,588,285
Goodwill	9,724,128	15,774,127
Deferred Income Taxes and Other Assets	2,670,728	3,213,307
Non-current Assets Held for Disposition	76,903
Total Assets	44,132,477	67,234,944
Current Liabilities:
Short-term borrowings	4,595,867	2,081,839
Trade accounts payable	1,008,912	1,796,990
Salaries, wages and commissions	888,793	1,427,765
Other accrued liabilities	3,780,472	6,787,995
Dividends payable	216,937	221,340
Income taxes payable	228,175	655,424
Current portion of long-term debt	264,009	308,823
Current liabilities held for disposition	348,500
Total Current Liabilities	11,331,665	13,280,176
Long-term Debt	3,403,069	18,085,302
Post-employment Obligations, Deferred Income Taxes and Other Long-term Liabilities	5,603,607	9,056,234
Non-current Liabilities Held for Disposition	6,205
Commitments and Contingencies
Shareholders' Investment:
Preferred shares, one dollar par value Authorized - 1,000,000 shares, none issued
Common shares, without par value Authorized - 2,400,000,000 shares Issued at stated capital amount - Shares: 2013: 1,682,978,987; 2012: 1,675,930,484	11,793,440	11,754,552
Common shares held in treasury, at cost - Shares: 2013: 136,793,341; 2012: 99,262,992	(6,808,771)	(5,590,909)
Earnings employed in the business	21,668,078	24,150,996
Accumulated other comprehensive income (loss)	(2,956,510)	(3,593,678)
Total Abbott Shareholders' Investment	23,696,237	26,720,961
Noncontrolling Interests in Subsidiaries	91,694	92,271
Total Shareholders' Investment	23,787,931	26,813,232
Total Liabilities and Shareholders' Investment	$ 44,132,477	$ 67,234,944

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Basis of Presentation

9 Months Ended

Sep. 30, 2013

Basis of Presentation

Basis of Presentation

Note 1 — Basis of Presentation

The accompanying unaudited, condensed consolidated financial statements have been prepared pursuant to rules and regulations of the Securities and Exchange Commission and, therefore, do not include all information and footnote disclosures normally included in audited financial statements.  However, in the opinion of management, all adjustments (which include only normal adjustments) necessary to present fairly the results of operations, financial position and cash flows have been made.  It is suggested that these statements be read in conjunction with the financial statements included in Abbott’s Annual Report on Form 10-K/A for the year ended December 31, 2012.  The consolidated financial statements include the accounts of the parent company and subsidiaries, after elimination of intercompany transactions.  The Condensed Consolidated Statement of Cash Flows for the nine months ended September 30, 2012 has been appropriately revised to reflect contingent and other consideration payments related to business acquisitions as cash flow used in financing activities.  The amounts had been previously reflected as cash flow used in investing activities.

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Other Comprehensive Income

9 Months Ended

Sep. 30, 2013

Other Comprehensive Income

Other Comprehensive Income

Note 4 — Other Comprehensive Income

The components of the changes in other comprehensive income from continuing operations, net of income taxes, are as follows:

	Three Months Ended September 30
	Cumulative Foreign Currency Translation Adjustments						Net Actuarial Losses and Prior Service Costs and Credits						Cumulative Unrealized Gains on Marketable Equity Securities					Cumulative Gains on Derivative Instruments Designated as Cash Flow Hedges
(dollars in millions)	2013			2012			2013			2012			2013			2012		2013			2012
Balance at June 30	$	(887	)	$	(768	)	$	(2,408	)	$	(2,586	)	$	34		$	16	$	35		$	120
Other comprehensive income (loss) before reclassifications	270			515			(8		)	—			3			4		12			(8		)
Income (loss) amounts reclassified from accumulated other comprehensive income (a)	—			—			26			32			(10		)	—		(23		)	(36		)
Net current period comprehensive income (loss) from continuing operations	270			515			18			32			(7		)	4		(11		)	(44		)
Balance at September 30	$	(617	)	$	(253	)	$	(2,390	)	$	(2,554	)	$	27		$	20	$	24		$	76

	Nine Months Ended September 30
	Cumulative Foreign Currency Translation Adjustments						Net Actuarial Losses and Prior Service Costs and Credits						Cumulative Unrealized Gains on Marketable Equity Securities						Cumulative Gains on Derivative Instruments Designated as Cash Flow Hedges
(dollars in millions)	2013			2012			2013			2012			2013			2012			2013			2012
Balance at December 31, 2012 and 2011	$	(79	)	$	(73	)	$	(3,596	)	$	(2,731	)	$	31		$	38		$	50		$	167
Separation of AbbVie	(208		)	(8		)	1,351			66			—			(26		)	8			(5		)
Other comprehensive income (loss) before reclassifications	(330		)	(136		)	(227		)	—			17			9			(8		)	(11		)
Income (loss) amounts reclassified from accumulated other comprehensive income (a)	—			(36		)	82			111			(21		)	(1		)	(26		)	(75		)
Net current period comprehensive income (loss) from continuing operations	(330		)	(172		)	(145		)	111			(4		)	8			(34		)	(86		)
Balance at September 30	$	(617	)	$	(253	)	$	(2,390	)	$	(2,554	)	$	27		$	20		$	24		$	76

(a) Reclassified amounts for foreign currency translation are recorded in the Condensed Consolidated Statement of Earnings as Net foreign exchange loss (gain); gains on marketable equity securities as Other (income) expense and cash flow hedges as Cost of products sold.  Net actuarial losses and prior service cost is included as a component of net periodic benefit plan costs; see Note 7 for additional details.

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Separation of AbbVie Inc.

9 Months Ended

Sep. 30, 2013

Separation of AbbVie Inc.

Separation of AbbVie Inc.

Note 2 — Separation of AbbVie Inc.

On November 28, 2012, Abbott’s board of directors declared a special dividend distribution of all of the outstanding shares of common stock of AbbVie Inc. (AbbVie), the company formed to hold Abbott’s research-based proprietary pharmaceuticals business.  For each Abbott common share held at the close of business on December 12, 2012, Abbott shareholders received one share of AbbVie stock on January 1, 2013.  Abbott has received a ruling from the Internal Revenue Service that the separation qualifies as a tax-free distribution to Abbott and its U.S. shareholders for U.S. federal income tax purposes.

The historical results of operations of the research-based proprietary pharmaceuticals business have been presented as discontinued operations in the Condensed Consolidated Statement of Earnings.  Discontinued operations include the results of AbbVie’s business except for certain corporate overhead costs and certain costs associated with transition services that will be provided by Abbott to AbbVie.  Discontinued operations also includes other costs incurred by Abbott to separate AbbVie as well as an allocation of interest assuming a uniform ratio of consolidated debt to equity for all of Abbott’s historical operations.  Prior-year balance sheets and statements of cash flows have not been adjusted to reflect the effect of the separation.

The following is a summary of the assets and liabilities transferred to AbbVie as part of the separation on January 1, 2013.  The summary has been revised to appropriately reduce the amount of long-term deferred tax assets transferred to AbbVie and the corresponding distribution from equity by approximately $580 million:  (dollars in billions)

Assets:
Cash and cash equivalents	$	5.9
Investments	2.2
Trade receivables, less allowances	3.2
Inventories	0.7
Prepaid expenses, deferred income taxes, and other current receivables	2.9
Net property and equipment	2.2
Intangible assets, net of amortization	2.3
Goodwill	6.1
Deferred income taxes and other assets	1.0
	26.5
Liabilities:
Short-term borrowings	1.0
Trade accounts payable and other current liabilities	5.1
Long-term debt	14.6
Post-employment obligations, deferred income taxes and other long-term liabilities	3.1
	23.8
Net Assets Transferred to AbbVie Inc.	$	2.7

In addition, approximately $1.1 billion of accumulated other comprehensive losses, net of income taxes, primarily related to the pension and other benefit plan net liabilities as well as foreign translation was transferred to AbbVie.

In the third quarter 2013, discontinued operations includes a favorable adjustment to tax expense of $193 million as a result of the resolution of various tax positions related to AbbVie's operations prior to separation. Summarized financial information for discontinued operations for 2012 is as follows: (dollars in millions)

	Three Months Ended		Nine Months Ended
	September 30 2012		September 30 2012
Net sales	$	4,508	$	13,175
Earnings before taxes	1,641		4,164
Taxes on earnings	37		355
Net earnings	1,604		3,809

Abbott and AbbVie entered into transitional services agreements prior to the separation pursuant to which Abbott and AbbVie are providing to each other, on an interim transitional basis, various services.  Transition services may be provided for up to 24 months with an option for a one-year extension by the recipient.  Services being provided by Abbott include certain information technology and back office support.  Billings by Abbott under these transitional services agreements are recorded as a reduction of the costs to provide the respective service in the applicable expense category in the Condensed Consolidated Statement of Earnings.  This transitional support will enable AbbVie to establish its stand-alone processes for various activities that were previously provided by Abbott and does not constitute significant continuing support of AbbVie’s operations.

For a small portion of AbbVie’s operations, the legal transfer of AbbVie’s assets (net of liabilities) did not occur with the separation of AbbVie on January 1, 2013 due to the time required to transfer marketing authorizations and other regulatory requirements in each of these countries.  Under the terms of the separation agreement with Abbott, AbbVie is subject to the risks and entitled to the benefits generated by these operations and assets.  The majority of these operations are expected to be transferred to AbbVie in 2013 with the remainder transferring in 2014.  These assets and liabilities have been presented as held for disposition in the Condensed Consolidated Balance Sheet.  At September 30, 2013, the assets and liabilities held for disposition consist of inventories of $173 million, trade accounts receivable of $338 million, equipment of $31 million, other assets of $74 million, trade accounts payable of $286 million and other liabilities of $69 million.  Abbott’s obligation to transfer the net assets held for disposition to AbbVie of $261 million is included in Other accrued liabilities.

Abbott has retained all liabilities for all U.S. federal and foreign income taxes on income prior to the separation, as well as certain non-income taxes attributable to AbbVie’s business.  AbbVie generally will be liable for all other taxes attributable to its business.  In connection with the separation, Abbott has adjusted its employee stock compensation awards and separated its defined benefit programs for pensions and post-employment medical and dental benefit plans.  See notes 7 and 9 for additional information.

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Financial Instruments, Derivatives and Fair Value Measures (Details 3) (USD $)	Sep. 30, 2013	Dec. 31, 2012
Fair value, asset and liability measures
Long-term Investment Securities	$ 142,527,000	$ 273,595,000
Equity securities
Fair value, asset and liability measures
Long-term Investment Securities	114,000,000	213,000,000
Carrying value
Fair value, asset and liability measures
Total long-term debt	(3,667,000,000)	(18,394,000,000)
Foreign currency forward exchange contracts, receivable position	100,000,000	120,000,000
Foreign currency forward exchange contracts, (payable) position	(86,000,000)	(146,000,000)
Interest rate hedge contracts, receivable position	114,000,000	185,000,000
Interest rate hedge contract, (payable) position		(80,000,000)
Carrying value | Equity securities
Fair value, asset and liability measures
Long-term Investment Securities	114,000,000	213,000,000
Carrying value | Other
Fair value, asset and liability measures
Long-term Investment Securities	29,000,000	61,000,000
Fair value
Fair value, asset and liability measures
Total long-term debt	(4,157,000,000)	(19,588,000,000)
Foreign currency forward exchange contracts, receivable position	100,000,000	120,000,000
Foreign currency forward exchange contracts, (payable) position	(86,000,000)	(146,000,000)
Interest rate hedge contracts, receivable position	114,000,000	185,000,000
Interest rate hedge contract, (payable) position		(80,000,000)
Fair value | Equity securities
Fair value, asset and liability measures
Long-term Investment Securities	114,000,000	213,000,000
Fair value | Other
Fair value, asset and liability measures
Long-term Investment Securities	$ 26,000,000	$ 56,000,000

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Restructuring Plans (Tables)

9 Months Ended

Sep. 30, 2013

Restructuring Plan 2012

Restructuring costs

Schedule of restructuring activity

The following summarizes the activity for these restructurings: (dollars in millions)

	2013
Restructuring charges recorded in 2012	$	167
Restructuring charges	19
Payments and other adjustments	(77		)
Accrued balance at September 30	$	109

Restructuring Plan 2013 and Prior Years

Restructuring costs

Schedule of restructuring activity

The following summarizes the activity for these restructurings: (dollars in millions)

	2013			2012
Accrued balance at December 31, 2012 and 2011	$	129		$	177
Restructuring charges	11			—
Transfer of liability to AbbVie	(62		)	—
Payments and other adjustments	(47		)	(19		)
Accrued balance at September 30	$	31		$	158

Restructuring Plan 2012 and 2010

Restructuring costs

Schedule of restructuring activity

The following summarizes the activity for these restructurings: (dollars in millions)

	2013			2012
Accrued balance at December 31, 2012 and 2011	$	115		$	108
Restructuring charges	—			150
Transfer of liability to AbbVie	(115		)	—
Payments and other adjustments	—			(108		)
Accrued balance at September 30	$	—		$	150

Restructuring Plan 2011 and 2008

Restructuring costs

Schedule of restructuring activity

The following summarizes the activity for these restructurings: (dollars in millions)

	2013			2012
Accrued balance at December 31, 2012 and 2011	$	56		$	79
Payments and other adjustments	(10		)	(22		)
Accrued balance at September 30	$	46		$	57

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Taxes on Earnings (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Sep. 30, 2013	Mar. 31, 2013	Sep. 30, 2012
Taxes on Earnings
Favorable resolution of various tax positions and other unusual provision items	$ 241	$ 103	$ 196
Decrease in gross unrecognized tax benefits due to favorable resolution of tax positions pertaining to prior years	560
Decrease in gross unrecognized tax benefits, lower bound	400
Decrease in gross unrecognized tax benefits, upper bound	450
AbbVie
Taxes on Earnings
Favorable resolution of various tax positions and other unusual provision items	433		386
Discontinued operations | AbbVie
Taxes on Earnings
Favorable resolution of various tax positions and other unusual provision items	$ 193

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Incentive Stock Programs (Details) (USD $) In Millions, except Share data, unless otherwise specified	9 Months Ended
	Sep. 30, 2013
Share-based Compensation Arrangement by Share-based Payment Award
Incentive stock programs, shares reserved for future grants	130,000,000
Total unrecognized compensation cost	$ 195
Stock options
Share-based Compensation Arrangement by Share-based Payment Award
Grants in period, stock options (in shares)	4,733,378
Replacement stock options
Share-based Compensation Arrangement by Share-based Payment Award
Grants in period, stock options (in shares)	918,819
Restricted stock awards
Share-based Compensation Arrangement by Share-based Payment Award
Grants in period, restricted stock (in shares)	840,535
Restricted stock units
Share-based Compensation Arrangement by Share-based Payment Award
Grants in period, restricted stock (in shares)	6,074,381
Stock option plan
Share-based Compensation Arrangement by Share-based Payment Award
Stock options outstanding, number of shares	45,693,210
Exercisable options, number of shares	38,893,329
Stock options outstanding, weighted-average remaining life	4 years
Exercisable options, weighted-average remaining life	3 years 2 months 12 days
Stock options outstanding, weighted-average exercise price (in dollars per share)	$ 26.22
Exercisable options, weighted-average exercise price (in dollars per share)	$ 25.12
Aggregate intrinsic value of options outstanding	338
Aggregate intrinsic value of options exercisable	$ 324
Total unrecognized compensation cost, recognition period	3 years

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Condensed Consolidated Statement of Comprehensive Income (USD $) In Thousands, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012	Dec. 31, 2012
Condensed Consolidated Statement of Comprehensive Income
Net Earnings	$ 965,734	$ 1,942,806	$ 1,986,449	$ 4,909,539
Less: Earnings from Discontinued Operations	192,871	1,603,885	192,871	3,808,562
Earnings from Continuing Operations	772,863	338,921	1,793,578	1,100,977
Foreign currency translation gain (loss) adjustments	269,602	515,454	(330,867)	(171,973)
Net actuarial gains (losses) and amortization of net actuarial losses and prior service cost and credits, net of taxes of $8,905 and $(32,244) in 2013 and $18,122 and $63,737 in 2012	18,498	31,511	(144,809)	110,723
Unrealized (losses) gains on marketable equity securities, net of taxes of $(4,342) and $(2,475) in 2013 and $2,238 and $4,679 in 2012	(7,521)	3,885	(4,288)	8,104
Net adjustments for derivative instruments designated as cash flow hedges and other, net of taxes of $(2,666) and $(8,539) in 2013 and $(9,537) and $(20,664) in 2012	(10,664)	(44,057)	(34,157)	(86,082)
Other Comprehensive Income (Loss) from Continuing Operations	269,915	506,793	(514,121)	(139,228)
Comprehensive Income from Continuing Operations	1,042,778	845,714	1,279,457	961,749
Comprehensive Income from Discontinued Operations	192,871	1,884,707	192,871	3,789,060
Comprehensive Income	1,235,649	2,730,421	1,472,328	4,750,809
Supplemental Accumulated Other Comprehensive Income Information, net of tax:
Cumulative foreign currency translation loss adjustments	(617,456)		(617,456)		(79,353)
Net actuarial losses and prior service cost and credits	(2,389,865)		(2,389,865)		(3,595,554)
Cumulative unrealized gains on marketable equity securities	26,452		26,452		31,363
Cumulative gains on derivative instruments designated as cash flow hedges	$ 24,359		$ 24,359		$ 49,866

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Post-Employment Benefits

9 Months Ended

Sep. 30, 2013

Post-Employment Benefits

Post-Employment Benefits

Note 7 — Post-Employment Benefits

Retirement plans consist of defined benefit, defined contribution, and medical and dental plans.  Net cost recognized in continuing operations for the three and nine months ended September 30 for Abbott’s major defined benefit plans and post-employment medical and dental benefit plans is as follows:

	Defined Benefit Plans												Medical and Dental Plans
	Three Months						Nine Months						Three Months						Nine Months
	Ended Sept. 30						Ended Sept. 30						Ended Sept. 30						Ended Sept. 30
(dollars in millions)	2013			2012			2013			2012			2013			2012			2013			2012
Service cost — benefits earned during the period	$	70		$	57		$	222		$	175		$	10		$	8		$	33		$	24
Interest cost on projected benefit obligations	66			66			198			199			15			10			45			32
Expected return on plans’ assets	(109		)	(90		)	(296		)	(272		)	(9		)	(4		)	(27		)	(13		)
Net amortization	41			33			123			106			(1		)	(1		)	(1		)	(3		)
Net Cost	$	68		$	66		$	247		$	208		$	15		$	13		$	50		$	40

Abbott funds its domestic defined benefit plans according to IRS funding limitations.  International pension plans are funded according to applicable regulations.  In the first nine months of 2013 and 2012, approximately $680 million and $360 million, respectively, was contributed to defined benefit plans and $40 million was contributed to the post-employment medical and dental benefit plans in each period.

The separation agreement with AbbVie obligates Abbott to transfer certain defined benefit and medical and dental plan liabilities and assets to AbbVie.  The net obligation is included in the assets and liabilities transferred to AbbVie as part of the separation on January 1, 2013.  The following table summarizes these projected benefit obligations and assets at January 1, 2013, based on the final actuarial valuations:

(dollars in millions)	Defined BenefitPlans		Medical and Dental Plans
Projected benefit obligations	$	4,534	$	472
Plans’ assets	3,111		—
Net obligation transferred to AbbVie	$	1,423	$	472

In addition, Abbott transferred to AbbVie Accumulated other comprehensive income (loss), net of income taxes, of approximately $1.2 billion.

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Condensed Consolidated Statement of Cash Flows (USD $) In Thousands, unless otherwise specified	9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
Cash Flow From (Used in) Operating Activities:
Net earnings	$ 1,986,449	$ 4,909,539
Adjustments to reconcile earnings to net cash from operating activities -
Depreciation	700,308	1,105,441
Amortization of intangibles	593,067	1,088,989
Share-based compensation	222,052	358,735
Acquired in-process and collaborations research and development		260,000
Trade receivables	21,790	689,292
Inventories	(242,032)	(465,470)
Other, net	(1,582,695)	(135,265)
Net Cash From Operating Activities	1,698,939	7,811,261
Cash Flow From (Used in) Investing Activities:
Acquisitions of property and equipment	(841,341)	(1,409,193)
Acquisitions of businesses and technology	(566,271)	(681,624)
Purchases of investment securities, net	(3,380,298)	(2,246,183)
Other	19,207	1,998
Net Cash (Used in) Investing Activities	(4,768,703)	(4,335,002)
Cash Flow From (Used in) Financing Activities:
Proceeds from issuance of short-term debt and other	3,524,138	788,358
Payment of long-term debt		(54,000)
Contingent and other consideration payments related to business acquisitions	(400,000)	(520,849)
Transfer of cash and cash equivalents to AbbVie Inc.	(5,901,400)
Purchases of common shares	(1,566,159)	(1,723,348)
Proceeds from stock options exercised, including income tax benefit	180,260	1,570,411
Dividends paid	(663,784)	(2,370,937)
Net Cash (Used in) Financing Activities	(4,826,945)	(2,310,365)
Effect of exchange rate changes on cash and cash equivalents	(23,000)	18,234
Net (Decrease) Increase in Cash and Cash Equivalents	(7,919,709)	1,184,128
Cash and Cash Equivalents, Beginning of Year	10,802,163	6,812,820
Cash and Cash Equivalents, End of Period	$ 2,882,454	$ 7,996,948

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Condensed Consolidated Statement of Earnings (USD $) In Thousands, except Per Share data, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Condensed Consolidated Statement of Earnings
Net Sales	$ 5,369,138	$ 5,264,787	$ 16,193,059	$ 15,861,769
Cost of products sold	2,450,532	2,488,913	7,427,105	7,218,133
Amortization of intangible assets	196,697	195,089	593,067	599,502
Research and development	356,877	350,653	1,065,757	1,083,972
Selling, general and administrative	1,734,693	1,920,115	5,234,527	5,576,770
Total Operating Cost and Expenses	4,738,799	4,954,770	14,320,456	14,478,377
Operating Earnings	630,339	310,017	1,872,603	1,383,392
Interest expense	39,799	152,034	121,082	406,092
Interest (income)	(16,044)	(63,865)	(47,995)	(188,710)
Net foreign exchange loss (gain)	4,599	(12,140)	44,213	(22,770)
Other (income) expense, net	(26,410)	2,677	(28,391)	(35,411)
Earnings from Continuing Operations Before Taxes	628,395	231,311	1,783,694	1,224,191
Taxes on Earnings from Continuing Operations	(144,468)	(107,610)	(9,884)	123,214
Earnings from Continuing Operations	772,863	338,921	1,793,578	1,100,977
Earnings from Discontinued Operations, net of taxes	192,871	1,603,885	192,871	3,808,562
Net Earnings	$ 965,734	$ 1,942,806	$ 1,986,449	$ 4,909,539
Basic Earnings Per Common Share
Continuing Operations (in dollars per share)	$ 0.50	$ 0.21	$ 1.14	$ 0.70
Discontinued Operations (in dollars per share)	$ 0.12	$ 1.01	$ 0.12	$ 2.39
Net Earnings (in dollars per share)	$ 0.62	$ 1.22	$ 1.26	$ 3.09
Diluted Earnings Per Common Share
Continuing Operations (in dollars per share)	$ 0.49	$ 0.21	$ 1.13	$ 0.69
Discontinued Operations (in dollars per share)	$ 0.12	$ 1.00	$ 0.12	$ 2.37
Net Earnings (in dollars per share)	$ 0.61	$ 1.21	$ 1.25	$ 3.06
Cash Dividends Declared Per Common Share (in dollars per share)	$ 0.14	$ 0.51	$ 0.42	$ 1.53
Average Number of Common Shares Outstanding Used for Basic Earnings Per Common Share (in shares)	1,551,803	1,576,771	1,560,369	1,574,466
Dilutive Common Stock Options and Awards (in shares)	14,888	17,508	16,114	16,500
Average Number of Common Shares Outstanding Plus Dilutive Common Stock Options and Awards (in shares)	1,566,691	1,594,279	1,576,483	1,590,966
Outstanding Common Stock Options Having No Dilutive Effect (in shares)	1,601	1,720	1,015	1,166

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Separation of AbbVie Inc. (Details) (USD $)	3 Months Ended					9 Months Ended		0 Months Ended	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Mar. 31, 2013	Sep. 30, 2012	Sep. 30, 2013 AbbVie	Sep. 30, 2012 AbbVie	Sep. 30, 2013 AbbVie Transition services agreement	Sep. 30, 2013 AbbVie Transition services agreement Maximum	Jan. 02, 2013 Proprietary Pharmaceuticals Business AbbVie	Sep. 30, 2013 Proprietary Pharmaceuticals Business AbbVie	Sep. 30, 2012 Proprietary Pharmaceuticals Business AbbVie	Sep. 30, 2012 Proprietary Pharmaceuticals Business AbbVie	Sep. 30, 2013 Proprietary Pharmaceuticals Business Assets and Liabilities Held for Disposal AbbVie
Separation of AbbVie Inc.
Common stock distribution ratio		1
Reduction in the amount of long-term deferred tax assets transferred to subsidiary								$ 580,000,000
Reduction in net assets transferred								580,000,000
Assets:
Cash and cash equivalents								5,900,000,000
Investments								2,200,000,000
Trade receivables, less allowances								3,200,000,000				338,000,000
Inventories								700,000,000				173,000,000
Prepaid expenses, deferred income taxes, and other current receivables								2,900,000,000
Net property and equipment								2,200,000,000				31,000,000
Intangible assets, net of amortization								2,300,000,000
Goodwill								6,100,000,000
Deferred income taxes and other assets								1,000,000,000
Total assets								26,500,000,000
Liabilities:
Short-term borrowings								1,000,000,000
Trade accounts payable and other current liabilities								5,100,000,000
Long-term debt								14,600,000,000
Post-employment obligations, deferred income taxes and other long-term liabilities								3,100,000,000
Total liabilities								23,800,000,000
Net Assets Transferred to AbbVie Inc.								2,700,000,000
Additional disclosures
Accumulated other comprehensive losses, net of income taxes, primarily related to the pension and other benefit plan net liabilities as well as foreign translation								1,100,000,000
Favorable resolution of various tax positions	241,000,000	103,000,000	196,000,000	433,000,000	386,000,000				193,000,000
Financial information for discontinued operations
Net sales										4,508,000,000	13,175,000,000
Earnings before taxes										1,641,000,000	4,164,000,000
Taxes on earnings										37,000,000	355,000,000
Net earnings										1,604,000,000	3,809,000,000
Term for which transition services may be provided							24 months
Term by which the agreement can be extended						1 year
Additional disclosures
Other assets												74,000,000
Trade accounts payable												286,000,000
Other liabilities												69,000,000
Obligation to transfer the net assets held for disposition included in other current liabilities												$ 261,000,000

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Other Comprehensive Income (Tables)

9 Months Ended

Sep. 30, 2013

Other Comprehensive Income

Schedule of the components of the changes in other comprehensive income from continuing operations, net of income taxes

	Three Months Ended September 30
	Cumulative Foreign Currency Translation Adjustments						Net Actuarial Losses and Prior Service Costs and Credits						Cumulative Unrealized Gains on Marketable Equity Securities					Cumulative Gains on Derivative Instruments Designated as Cash Flow Hedges
(dollars in millions)	2013			2012			2013			2012			2013			2012		2013			2012
Balance at June 30	$	(887	)	$	(768	)	$	(2,408	)	$	(2,586	)	$	34		$	16	$	35		$	120
Other comprehensive income (loss) before reclassifications	270			515			(8		)	—			3			4		12			(8		)
Income (loss) amounts reclassified from accumulated other comprehensive income (a)	—			—			26			32			(10		)	—		(23		)	(36		)
Net current period comprehensive income (loss) from continuing operations	270			515			18			32			(7		)	4		(11		)	(44		)
Balance at September 30	$	(617	)	$	(253	)	$	(2,390	)	$	(2,554	)	$	27		$	20	$	24		$	76

	Nine Months Ended September 30
	Cumulative Foreign Currency Translation Adjustments						Net Actuarial Losses and Prior Service Costs and Credits						Cumulative Unrealized Gains on Marketable Equity Securities						Cumulative Gains on Derivative Instruments Designated as Cash Flow Hedges
(dollars in millions)	2013			2012			2013			2012			2013			2012			2013			2012
Balance at December 31, 2012 and 2011	$	(79	)	$	(73	)	$	(3,596	)	$	(2,731	)	$	31		$	38		$	50		$	167
Separation of AbbVie	(208		)	(8		)	1,351			66			—			(26		)	8			(5		)
Other comprehensive income (loss) before reclassifications	(330		)	(136		)	(227		)	—			17			9			(8		)	(11		)
Income (loss) amounts reclassified from accumulated other comprehensive income (a)	—			(36		)	82			111			(21		)	(1		)	(26		)	(75		)
Net current period comprehensive income (loss) from continuing operations	(330		)	(172		)	(145		)	111			(4		)	8			(34		)	(86		)
Balance at September 30	$	(617	)	$	(253	)	$	(2,390	)	$	(2,554	)	$	27		$	20		$	24		$	76

(a) Reclassified amounts for foreign currency translation are recorded in the Condensed Consolidated Statement of Earnings as Net foreign exchange loss (gain); gains on marketable equity securities as Other (income) expense and cash flow hedges as Cost of products sold.  Net actuarial losses and prior service cost is included as a component of net periodic benefit plan costs; see Note 7 for additional details.

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Restructuring Plans (Details) (USD $) In Millions, unless otherwise specified	9 Months Ended	12 Months Ended	9 Months Ended	12 Months Ended		9 Months Ended
	Sep. 30, 2013 Restructuring Plan 2012	Dec. 31, 2012 Restructuring Plan 2012	Sep. 30, 2013 Restructuring Plan 2012 Cost of products sold	Dec. 31, 2012 Restructuring Plan 2012 Cost of products sold	Dec. 31, 2012 Restructuring Plan 2012 Selling, general and administrative expense	Sep. 30, 2013 Restructuring Plan 2013 and Prior Years	Sep. 30, 2012 Restructuring Plan 2013 and Prior Years	Sep. 30, 2013 Restructuring Plan 2013 and Prior Years Cost of products sold	Sep. 30, 2013 Restructuring Plan 2012 and 2010	Sep. 30, 2012 Restructuring Plan 2012 and 2010	Sep. 30, 2013 Restructuring Plan 2011 and 2008	Sep. 30, 2012 Restructuring Plan 2011 and 2008
Restructuring costs
Employee related severance charges	$ 19	$ 167				$ 11
Asset impairments and contractual obligations in restructuring charges	4	22				12
Restructuring charges	19	167	23	70	119	11		23		150
Restructuring reserve activity
Restructuring reserve, beginning balance of the period						129	177		115	108	56	79
Restructuring charges	19	167	23	70	119	11		23		150
Transfer of liability to AbbVie						(62)			(115)
Payments and other adjustments	(77)					(47)	(19)			(108)	(10)	(22)
Restructuring reserve, ending balance of the period	109					31	158			150	46	57
Accelerated depreciation in restructuring charges						24	21
Accelerated depreciation and product transfer costs											$ 6	$ 12

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Financial Instruments, Derivatives and Fair Value Measures (Details) (USD $)	9 Months Ended	12 Months Ended
	Sep. 30, 2013	Dec. 31, 2012	Jan. 02, 2013
Derivative instruments, notional amount and fair value
Fair Value - Assets	$ 214,000,000	$ 305,000,000
Fair Value - Liabilities	626,000,000	841,000,000
Designated as hedging instrument | Short-term borrowings | Net investment hedges
Derivative instruments, notional amount and fair value
Fair Value - Liabilities	540,000,000	615,000,000
Designated as hedging instrument | Interest rate swaps | Fair value hedges
Derivative instruments, notional amount and fair value
Notional amount of cash flow hedge instruments	1,500,000,000	9,500,000,000
Contracts transferred to AbbVie			8,000,000,000
Amount of hedge ineffectiveness recorded in income	0	0
Designated as hedging instrument | Interest rate swaps | Deferred income taxes and other assets | Fair value hedges
Derivative instruments, notional amount and fair value
Fair Value - Assets	114,000,000	185,000,000
Designated as hedging instrument | Interest rate swaps | Post-employment obligations, deferred income taxes and other long-term liabilities | Fair value hedges
Derivative instruments, notional amount and fair value
Fair Value - Liabilities		80,000,000
Designated as hedging instrument | Foreign currency forward exchange contracts | Cash flow hedges
Derivative instruments, notional amount and fair value
Notional amount of cash flow hedge instruments	192,000,000	1,600,000,000
Contracts transferred to AbbVie			1,000,000,000
Approximate length of time over which accumulated gains and losses will be recognized in Cost of products sold	12 months
Designated as hedging instrument | Foreign currency forward exchange contracts | Prepaid expenses, deferred income taxes, and other receivables
Derivative instruments, notional amount and fair value
Fair Value - Assets	10,000,000	22,000,000
Designated as hedging instrument | Foreign currency forward exchange contracts | Other accrued liabilities
Derivative instruments, notional amount and fair value
Fair Value - Liabilities		11,000,000
Not designated as hedging instrument | Foreign currency forward exchange contracts
Derivative instruments, notional amount and fair value
Notional amount of cash flow hedge instruments	11,600,000,000	18,200,000,000
Contracts transferred to AbbVie			4,300,000,000
Not designated as hedging instrument | Foreign currency forward exchange contracts | Prepaid expenses, deferred income taxes, and other receivables
Derivative instruments, notional amount and fair value
Fair Value - Assets	90,000,000	98,000,000
Not designated as hedging instrument | Foreign currency forward exchange contracts | Other accrued liabilities
Derivative instruments, notional amount and fair value
Fair Value - Liabilities	$ 86,000,000	$ 135,000,000

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Segment Information (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012	Dec. 31, 2012
Segment Reporting Information
Assets	$ 44,132,477		$ 44,132,477		$ 67,234,944
Net Sales to External Customers	5,369,138	5,264,787	16,193,059	15,861,769
Operating Earnings	628,395	231,311	1,783,694	1,224,191
Total Reportable Segments
Segment Reporting Information
Net Sales to External Customers	4,742,000	4,660,000	14,312,000	13,994,000
Operating Earnings	1,117,000	1,045,000	3,226,000	3,024,000
Established Pharmaceutical Products
Segment Reporting Information
Assets	2,600,000		2,600,000
Net Sales to External Customers	1,235,000	1,272,000	3,685,000	3,775,000
Operating Earnings	341,000	351,000	884,000	913,000
Nutritional Products
Segment Reporting Information
Net Sales to External Customers	1,635,000	1,603,000	5,038,000	4,746,000
Operating Earnings	260,000	245,000	915,000	719,000
Diagnostic Products
Segment Reporting Information
Net Sales to External Customers	1,125,000	1,042,000	3,349,000	3,162,000
Operating Earnings	250,000	202,000	752,000	629,000
Vascular Products
Segment Reporting Information
Assets	1,800,000		1,800,000
Net Sales to External Customers	747,000	743,000	2,240,000	2,311,000
Operating Earnings	266,000	247,000	675,000	763,000
Other
Segment Reporting Information
Net Sales to External Customers	$ 627,000	$ 605,000	$ 1,881,000	$ 1,868,000

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Segment Information (Details 2) (USD $)	3 Months Ended		9 Months Ended		3 Months Ended				9 Months Ended		3 Months Ended		9 Months Ended		3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012	Mar. 31, 2013 Minimum	Mar. 31, 2013 Maximum	Sep. 30, 2013 Total Reportable Segments	Sep. 30, 2012 Total Reportable Segments	Sep. 30, 2013 Total Reportable Segments	Sep. 30, 2012 Total Reportable Segments	Sep. 30, 2013 Non-reportable segments	Sep. 30, 2012 Non-reportable segments	Sep. 30, 2013 Non-reportable segments	Sep. 30, 2012 Non-reportable segments	Sep. 30, 2013 Unallocated amount	Sep. 30, 2012 Unallocated amount	Sep. 30, 2013 Unallocated amount	Sep. 30, 2012 Unallocated amount
Segment Reporting Information
Operating Earnings	$ 630,339,000	$ 310,017,000	$ 1,872,603,000	$ 1,383,392,000							$ 89,000,000	$ 98,000,000	$ 276,000,000	$ 285,000,000
Corporate functions and benefit plans costs															(117,000,000)	(164,000,000)	(364,000,000)	(507,000,000)
Net interest expense															(24,000,000)	(88,000,000)	(73,000,000)	(218,000,000)
Share-based compensation															(45,000,000)	(51,000,000)	(222,000,000)	(236,000,000)
Amortization of intangible assets	(196,697,000)	(195,089,000)	(593,067,000)	(599,502,000)											(197,000,000)	(195,000,000)	(593,000,000)	(599,000,000)
Other, net															(195,000,000)	(414,000,000)	(467,000,000)	(525,000,000)
Earnings from Continuing Operations Before Taxes	$ 628,395,000	$ 231,311,000	$ 1,783,694,000	$ 1,224,191,000			$ 1,117,000,000	$ 1,045,000,000	$ 3,226,000,000	$ 3,024,000,000
Annual share-based awards recognized in first quarter (as a percent)					40.00%	45.00%

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Litigation and Environmental Matters

9 Months Ended

Sep. 30, 2013

Litigation and Environmental Matters

Litigation and Environmental Matters

Note 6 — Litigation and Environmental Matters

Abbott has been identified as a potentially responsible party for investigation and cleanup costs at a number of locations in the United States and Puerto Rico under federal and state remediation laws and is investigating potential contamination at a number of company-owned locations. Abbott has recorded an estimated cleanup cost for each site for which management believes Abbott has a probable loss exposure. No individual site cleanup exposure is expected to exceed $4 million, and the aggregate cleanup exposure is not expected to exceed $15 million.

Abbott is involved in various claims and legal proceedings, and Abbott estimates the range of possible loss for its legal proceedings and environmental exposures to be from approximately $80 million to $100 million. The recorded accrual balance at September 30, 2013 for these proceedings and exposures was approximately $85 million. This accrual represents management’s best estimate of probable loss, as defined by FASB ASC No. 450, “Contingencies.” Within the next year, legal proceedings may occur that may result in a change in the estimated loss accrued by Abbott. While it is not feasible to predict the outcome of all such proceedings and exposures with certainty, management believes that their ultimate disposition should not have a material adverse effect on Abbott’s financial position, cash flows, or results of operations.

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Supplemental Financial Information (Details) (USD $)	3 Months Ended			9 Months Ended
	Sep. 30, 2013	Mar. 31, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012	Dec. 31, 2012
Supplemental Financial Information
Net earnings allocated to common shares	$ 959,000,000		$ 1,928,000,000	$ 1,973,000,000	$ 4,871,000,000
Component of long-term investment
Favorable resolution of various tax positions	241,000,000	103,000,000	196,000,000
Long-term Investment Securities	142,527,000			142,527,000		273,595,000
AbbVie
Component of long-term investment
Payments for settlement of certain government investigations					800,000,000
Favorable resolution of various tax positions	433,000,000		386,000,000
Defined Benefit Plans
Component of long-term investment
Benefit plan contributions by employer				680,000,000	360,000,000
Equity securities
Component of long-term investment
Long-term Investment Securities	114,000,000			114,000,000		213,000,000
Other
Component of long-term investment
Long-term Investment Securities	$ 29,000,000			$ 29,000,000		$ 61,000,000

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Financial Instruments, Derivatives and Fair Value Measures (Details 4) (Recurring, USD $) In Millions, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
Fair value
Fair value, asset and liability measures
Equity securities	$ 49	$ 76
Interest rate swap derivative financial instruments, assets	114	185
Foreign currency forward exchange contracts, assets	100	120
Total Assets	263	381
Fair value of hedged long-term debt	1,640	9,632
Interest rate swap derivative financial instruments, liabilities		80
Foreign currency forward exchange contracts, liabilities	86	146
Contingent consideration related to business combinations	265	323
Total Liabilities	1,991	10,181
Quoted Prices in Active Markets
Fair value, asset and liability measures
Equity securities	49	76
Total Assets	49	76
Significant Other Observable Inputs
Fair value, asset and liability measures
Interest rate swap derivative financial instruments, assets	114	185
Foreign currency forward exchange contracts, assets	100	120
Total Assets	214	305
Fair value of hedged long-term debt	1,640	9,632
Interest rate swap derivative financial instruments, liabilities		80
Foreign currency forward exchange contracts, liabilities	86	146
Total Liabilities	1,726	9,858
Significant Unobservable Inputs
Fair value, asset and liability measures
Contingent consideration related to business combinations	265	323
Total Liabilities	$ 265	$ 323

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Incentive Stock Programs

9 Months Ended

Sep. 30, 2013

Incentive Stock Programs

Incentive Stock Programs

Note 9 — Incentive Stock Programs

In connection with the separation of AbbVie on January 1, 2013, Abbott modified its outstanding equity awards granted under incentive stock programs for its employees.  The awards were generally modified such that immediately following the separation, the awardees held the same number of awards in Abbott stock and an equal number of awards in AbbVie stock.  The exercise price on outstanding Abbott options was adjusted and the exercise price on the AbbVie options granted under this modification was established with the intention of generally preserving the value of the awards immediately prior to the separation.  This modification did not result in additional compensation expense.

In the first nine months of 2013, Abbott granted 4,733,378 stock options, 918,819 replacement stock options, 840,535 restricted stock awards and 6,074,381 restricted stock units under its incentive stock programs.  At September 30, 2013, approximately 130 million shares were reserved for future grants.  Information regarding the number of options outstanding and exercisable at September 30, 2013 is as follows:

	Outstanding		Exercisable
Number of shares	45,693,210		38,893,329
Weighted average remaining life (years)	4.0		3.2
Weighted average exercise price	$	26.22	$	25.12
Aggregate intrinsic value (in millions)	$	338	$	324

The total unrecognized share-based compensation cost at September 30, 2013 amounted to approximately $195 million which is expected to be recognized over the next three years.

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Taxes on Earnings

9 Months Ended

Sep. 30, 2013

Taxes on Earnings

Taxes on Earnings

Note 5 — Taxes on Earnings

Taxes on earnings reflect the estimated annual effective rates and include charges for interest and penalties.  In the third quarter of 2013 taxes on earnings reflect the recognition of $241 million of tax benefits in continuing operations as the result of the favorable resolution of various tax positions pertaining to prior years.  2013 Earnings from Discontinued Operations, net of tax, reflect the recognition of $193 million of tax benefits as a result of the favorable resolution of various tax positions related to AbbVie's operations prior to separation.  The conclusion of these tax matters decreased the gross amount of unrecognized tax benefits by approximately $560 million. In addition, as a result of the American Taxpayer Relief Act of 2012 signed into law in January 2013, Abbott recorded a tax benefit to taxes on continuing operations of approximately $103 million in the first quarter of 2013 for the retroactive extension of the research tax credit and the look-through rules of section 954(c)(6) of the Internal Revenue Code to the beginning of 2012.  Taxes on earnings on continuing operations in 2012 reflect the recognition of $196 million of tax benefits in the third quarter as a result of the favorable resolution of various tax positions pertaining to a prior year.

Exclusive of these discrete items, the effective tax rates are less than the statutory U.S. federal income tax rate principally due to the benefit of lower statutory tax rates and tax exemptions in several foreign taxing jurisdictions.  Tax authorities in various jurisdictions regularly review Abbott’s income tax filings.  Abbott believes that it is reasonably possible that the recorded amount of gross unrecognized tax benefits may decrease by $400 million to $450 million, including cash adjustments, within the next twelve months as a result of concluding various domestic and international tax matters.

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Condensed Consolidated Balance Sheet (Parenthetical) (USD $) In Thousands, except Share data, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
Condensed Consolidated Balance Sheet
Trade receivables, allowances (in dollars)	$ 340,899	$ 405,921
Preferred shares, par value (in dollars per share)	$ 1	$ 1
Preferred shares, Authorized shares	1,000,000	1,000,000
Preferred shares, issued shares	0	0
Common shares, Authorized shares	2,400,000,000	2,400,000,000
Common shares, Issued shares	1,682,978,987	1,675,930,484
Common shares held in treasury, shares	136,793,341	99,262,992

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Litigation and Environmental Matters (Details) (USD $) In Millions, unless otherwise specified	Sep. 30, 2013
Loss Contingencies
Maximum expected cleanup exposure for individual site	$ 4
Maximum expected cleanup exposure in aggregate	15
Other legal proceedings and environmental exposures
Loss Contingencies
Other legal proceedings or environmental exposure, minimum	80
Other legal proceedings or environmental exposure, maximum	100
Recorded reserve balance for legal proceedings and exposures	$ 85

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Goodwill and Intangible Assets

9 Months Ended

Sep. 30, 2013

Goodwill and Intangible Assets

Goodwill and Intangible Assets

Note 12 — Goodwill and Intangible Assets

Abbott recorded goodwill of approximately $235 million in 2013 related to the acquisitions of IDEV Technologies and OptiMedica.  Goodwill related to the IDEV acquisition was allocated to the Vascular Products segment and goodwill related to OptiMedica was allocated to a non-reportable segment.  Foreign currency translation adjustments and other adjustments decreased goodwill in the first nine months of 2013 by approximately $155 million, while there were no significant changes in 2012.  In addition, in connection with the separation of AbbVie on January 1, 2013, Abbott transferred approximately $6.1 billion of goodwill to AbbVie. The amount of goodwill related to reportable segments at September 30, 2013 was $2.9 billion for the Established Pharmaceutical Products segment, $210 million for the Nutritional Products segment, $386 million for the Diagnostic Products segment, and $2.8 billion for the Vascular Products segment.  Other than the effects of the separation of AbbVie, there were no reductions of goodwill relating to the disposal of all or a portion of a business.  There was no reduction of goodwill relating to impairments.

The gross amount of amortizable intangible assets, primarily product rights and technology was $12.0 billion as of September 30, 2013 and $17.6 billion as of December 31, 2012, and accumulated amortization was $6.6 billion as of September 30, 2013 and $9.7 billion as of December 31, 2012. Indefinite-lived intangible assets, which relate to in-process research and development acquired in a business combination, was approximately $520 million at September 30, 2013 and $691 million at December 31, 2012.  Gross amortizable intangible assets, accumulated amortization and indefinite-lived intangible assets of $5.8 billion, $3.9 billion and $416 million, respectively, were transferred to AbbVie as part of the separation on January 1, 2013.  Abbott’s estimated annual amortization expense for intangible assets is approximately $800 million in 2013, $685 million in 2014, $635 million in 2015, $620 million in 2016 and $585 million in 2017.  Amortizable intangible assets are amortized over 4 to 20 years (average 11 years).

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Segment Information

9 Months Ended

Sep. 30, 2013

Segment Information

Segment Information

Note 8 — Segment Information

Abbott’s principal business is the discovery, development, manufacture and sale of a broad line of health care products.  Abbott’s products are generally sold directly to retailers, wholesalers, hospitals, health care facilities, laboratories, physicians’ offices and government agencies throughout the world.  As a result of the separation of AbbVie, Abbott no longer has a Proprietary Pharmaceutical Products segment and this business has been removed from the 2012 historical information presented below.  Abbott’s reportable segments are as follows:

Established Pharmaceutical Products — International sales of a broad line of branded generic pharmaceutical products.

Nutritional Products — Worldwide sales of a broad line of adult and pediatric nutritional products.

Diagnostic Products — Worldwide sales of diagnostic systems and tests for blood banks, hospitals, commercial laboratories and alternate-care testing sites.  For segment reporting purposes, the Core Laboratories Diagnostics, Molecular Diagnostics, Point of Care and Ibis diagnostic divisions are aggregated and reported as the Diagnostic Products segment.

VascularProducts — Worldwide sales of coronary, endovascular, structural heart, vessel closure and other medical device products.

Non-reportable segments include the Diabetes Care and Medical Optics segments.

Abbott’s underlying accounting records are maintained on a legal entity basis for government and public reporting requirements.  Segment disclosures are on a performance basis consistent with internal management reporting.  The cost of some corporate functions and the cost of certain employee benefits are charged to segments at predetermined rates that approximate cost.  Remaining costs, if any, are not allocated to segments.  In addition, effective January 1, 2013, intangible asset amortization is not allocated to operating segments, and intangible assets and goodwill are not included in the measure of each segment’s assets.  After removal of intangible assets and goodwill from the measure of segment assets, the assets of the Established Pharmaceutical Products and the Vascular Products segments totaled $2.6 billion and $1.8 billion, respectively, as of September 30, 2013. The segment information below for 2012 has been adjusted to exclude intangible asset amortization.  The following segment information has been prepared in accordance with the internal accounting policies of Abbott, as described above, and are not presented in accordance with generally accepted accounting principles applied to the consolidated financial statements.

	Net Sales to External Customers								Operating Earnings
	Three Months				Nine Months				Three Months						Nine Months
	Ended Sept. 30				Ended Sept. 30				Ended Sept. 30						Ended Sept. 30
(dollars in millions)	2013		2012		2013		2012		2013			2012			2013			2012
Established Pharmaceutical Products	$	1,235	$	1,272	$	3,685	$	3,775	$	341		$	351		$	884		$	913
Nutritional Products	1,635		1,603		5,038		4,746		260			245			915			719
Diagnostic Products	1,125		1,042		3,349		3,162		250			202			752			629
Vascular Products	747		743		2,240		2,311		266			247			675			763
Total Reportable Segments	4,742		4,660		14,312		13,994		1,117			1,045			3,226			3,024
Other	627		605		1,881		1,868
Net Sales	$	5,369	$	5,265	$	16,193	$	15,862
Corporate functions and benefit plans costs									(117		)	(164		)	(364		)	(507		)
Non-reportable segments									89			98			276			285
Net interest expense									(24		)	(88		)	(73		)	(218		)
Share-based compensation (a)									(45		)	(51		)	(222		)	(236		)
Amortization of intangible assets									(197		)	(195		)	(593		)	(599		)
Other, net (b)									(195		)	(414		)	(467		)	(525		)
Consolidated Earnings from Continuing Operations Before Taxes									$	628		$	231		$	1,783		$	1,224

(a) Approximately 40 to 45 percent of the annual net cost of share-based awards will typically be recognized in the first quarter due to the timing of the granting of share-based awards.

(b) The decrease in Other, net, in the third quarter of 2013 is due primarily to lower expenses in 2013 related to cost reduction initiatives compared to 2012.

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Supplemental Financial Information (Tables)

9 Months Ended

Sep. 30, 2013

Supplemental Financial Information

Components of long-term investments

	September 30		December 31
(dollars in millions)	2013		2012
Equity securities	$	114	$	213
Other	29		61
Total	$	143	$	274

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Restructuring Plans

9 Months Ended

Sep. 30, 2013

Restructuring Plans

Restructuring Plans

Note 13 — Restructuring Plans

In the third quarter of 2013, Abbott management approved a plan to streamline certain manufacturing operations in order to reduce costs and improve efficiencies in Abbott’s established pharmaceutical business. In addition, in the third quarter of 2012, Abbott management approved plans to streamline various commercial operations in order to reduce costs and improve efficiencies in Abbott’s core diagnostics, established pharmaceutical and nutritionals businesses. Abbott recorded employee related severance charges of approximately $19 million and $167 million in 2013 and 2012, respectively.  Additional charges of approximately $4 million and $22 million were also recorded in 2013 and 2012, respectively, primarily for asset impairments. Approximately $23 million in 2013 and $70 million in 2012 is recorded in Cost of products sold and approximately $119 million as Selling, general and administrative expense in 2012. Through December 31, 2012, no significant cash payments were made relating to the 2012 action.  The following summarizes the activity for these restructurings: (dollars in millions)

	2013
Restructuring charges recorded in 2012	$	167
Restructuring charges	19
Payments and other adjustments	(77		)
Accrued balance at September 30	$	109

In 2013 and prior years, Abbott management approved plans to realign its worldwide pharmaceutical and vascular manufacturing operations and selected domestic and international commercial and research and development operations in order to reduce costs. In 2013, Abbott recorded employee related severance charges of approximately $11 million.  Additional charges of approximately $12 million were also recorded in 2013 primarily for accelerated depreciation. Approximately $23 million in 2013 is recorded in Cost of products sold.  The following summarizes the activity for these restructurings: (dollars in millions)

	2013			2012
Accrued balance at December 31, 2012 and 2011	$	129		$	177
Restructuring charges	11			—
Transfer of liability to AbbVie	(62		)	—
Payments and other adjustments	(47		)	(19		)
Accrued balance at September 30	$	31		$	158

Additional charges of $24 million and $21 million were recorded in the first nine months of 2013 and 2012, respectively, relating to these restructurings, primarily for accelerated depreciation.

In 2012 and 2010, Abbott management approved restructuring plans primarily related to the acquisition of Solvay Pharmaceuticals.  These plans streamline operations, improve efficiencies and reduce costs in certain sites and functions as well as in certain commercial organizations in various countries.  The following summarizes the activity for these restructurings: (dollars in millions)

	2013			2012
Accrued balance at December 31, 2012 and 2011	$	115		$	108
Restructuring charges	—			150
Transfer of liability to AbbVie	(115		)	—
Payments and other adjustments	—			(108		)
Accrued balance at September 30	$	—		$	150

In 2011 and 2008, Abbott management approved plans to streamline global manufacturing operations, reduce overall costs, and improve efficiencies in Abbott’s core diagnostic business. The following summarizes the activity for these restructurings: (dollars in millions)

	2013			2012
Accrued balance at December 31, 2012 and 2011	$	56		$	79
Payments and other adjustments	(10		)	(22		)
Accrued balance at September 30	$	46		$	57

Additional charges of approximately $6 million and $12 million were recorded in the first nine months of 2013 and 2012, respectively, relating to this restructuring, primarily for product transfer costs.

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Document and Entity Information	9 Months Ended
	Sep. 30, 2013
Document and Entity Information
Entity Registrant Name	ABBOTT LABORATORIES
Entity Central Index Key	0000001800
Document Type	10-Q
Document Period End Date	Sep. 30, 2013
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding	1,546,185,646
Document Fiscal Year Focus	2013
Document Fiscal Period Focus	Q3

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Separation of AbbVie Inc. (Tables)

9 Months Ended

Sep. 30, 2013

Separation of AbbVie Inc.

Summary of the assets and liabilities transferred to AbbVie as part of the separation

The summary has been revised to appropriately reduce the amount of long-term deferred tax assets transferred to AbbVie and the corresponding distribution from equity by approximately $580 million:  (dollars in billions)

Assets:
Cash and cash equivalents	$	5.9
Investments	2.2
Trade receivables, less allowances	3.2
Inventories	0.7
Prepaid expenses, deferred income taxes, and other current receivables	2.9
Net property and equipment	2.2
Intangible assets, net of amortization	2.3
Goodwill	6.1
Deferred income taxes and other assets	1.0
	26.5
Liabilities:
Short-term borrowings	1.0
Trade accounts payable and other current liabilities	5.1
Long-term debt	14.6
Post-employment obligations, deferred income taxes and other long-term liabilities	3.1
	23.8
Net Assets Transferred to AbbVie Inc.	$	2.7

Summary of financial information for discontinued operations

Summarized financial information for discontinued operations for 2012 is as follows: (dollars in millions)

	Three Months Ended		Nine Months Ended
	September 30 2012		September 30 2012
Net sales	$	4,508	$	13,175
Earnings before taxes	1,641		4,164
Taxes on earnings	37		355
Net earnings	1,604		3,809