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Segment Information
 9 Months Ended
Sep. 30, 2022
Segment Reporting [Abstract]  
Segment Information
Note 13 — 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.

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, physician offices and alternate-care testing sites. For segment reporting purposes, the Core Laboratory Diagnostics, Rapid Diagnostics, Molecular Diagnostics and Point of Care Diagnostics divisions are aggregated and reported as the Diagnostic Products segment.

Medical Devices — Worldwide sales of rhythm management, electrophysiology, heart failure, vascular, structural heart, neuromodulation and diabetes care products. For segment reporting purposes, the Cardiac Rhythm Management, Electrophysiology, Heart Failure, Vascular, Structural Heart, Neuromodulation and Diabetes Care divisions are aggregated and reported as the Medical Devices segment.

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. Intersegment transfers of inventory are recorded at standard cost and are not a measure of segment operating earnings. 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, 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.
The following segment information has been prepared in accordance with the internal accounting policies of Abbott, as described above, and is not presented in accordance with generally accepted accounting principles applied to the consolidated financial statements.

 Net Sales to External CustomersOperating Earnings
Three Months
Ended Sept. 30		Nine Months
Ended Sept. 30		Three Months
Ended Sept. 30		Nine Months
Ended Sept. 30
(in millions)20222021202220212022 2021 2022 2021
Established Pharmaceutical Products$1,326 $1,265 $3,696 $3,515 $331 $293 $831 $682 
Nutritional Products1,795 2,108 5,642 6,252 69 431 550 1,388 
Diagnostic Products3,671 3,912 13,279 11,173 1,352 1,652 5,631 4,429 
Medical Devices3,615 3,632 10,937 10,618 1,039 1,160 3,272 3,375 
Total Reportable Segments10,407 10,917 33,554 31,558 2,791 3,536 10,284 9,874 
Other 3 11 8 49 
Net sales$10,410 $10,928 $33,562 $31,607 
Corporate functions and benefit plan costs(115)(204)(352)(450)
Net interest expense (86)(123)(309)(370)
Share-based compensation (a) (123)(114)(570)(534)
Amortization of intangible assets(498)(520)(1,517)(1,533)
Other, net (b)(211)(82)(550)(1,103)
Earnings before taxes$1,758 $2,493 $6,986 $5,884 
______________________________________
(a)
Approximately 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)
Other, net for the three and nine months ended September 30, 2022 includes $10 million and $172 million, respectively, of charges related to a voluntary recall within the Nutritional Products segment and $111 million of charges related to the impairment of IPR&D intangible assets. Other, net for the three and nine months ended September 30, 2022 and 2021 also includes integration costs associated with the acquisition of Alere and restructuring charges. Restructuring charges in 2021 include Abbott’s restructuring plan for its COVID-19 test manufacturing network. Other, net for the nine months ended September 30, 2021 also includes costs related to certain litigation.