http://online.wsj.com/article/BT-CO-20090928-709016.html
[quote=excerpt from link]
Humira generates about one-sixth of total company revenue but its sales growth has slowed to about 20% this year from nearly 50% last year. The deceleration - fueled by currency fluctuations and high copays for some patients - contributed to a 9% decline in Abbott shares year-to-date through Friday, lagging behind most other big drug makers. A relatively thin late-stage research pipeline also has factored into investor discomfort.
Abbott Chief Executive Miles White - who has been hesitant to publicly acknowledge that the Humira slowdown was much of a problem in the first place - hopes the Solvay deal helps put to rest concerns about the sustainability of Abbott's profit growth.
The Solvay purchase may not definitively address Abbott's heavy reliance on Humira, but it will add to Abbott's earnings, and White indicated Abbott would continue to search for additional deals.
So far on Monday, the market seems happier with Abbott - the stock is up 3.3% at .91.
Abbott will pick up more than billion in annualized sales with the Solvay buy, including gastroenterology and hormone-based drugs; in comparison, Abbott had .5 billion in sales last year, .5 billion of which was from Humira. Also, Abbott will inherit a research pipeline that includes potential treatments for Parkinson's disease - partially addressing what some investors view as Abbott's relatively weak late-stage pipeline.[/quote]