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Benzinga
Benzinga
Business
Aaron Bry

Abbott Spent $5B On Stock Buybacks Instead Of Fixing Its Baby Formula Factory

The fear of not knowing where your child’s next meal comes from is something that no parent should face. But, because of a recall of Abbott Laboratories’ (NYSE:ABT) Similac and other popular baby formula brands, stores throughout the nation are limiting how much formula parents can buy. 

What Happened: Formula produced at Abbott’s Sturgis, Michigan plant was recalled in February after unsafe bacteria was found in batches of the product, which led to infections that killed two babies. Abbott responded by shutting down the factory to fix the problem with the drying process that led to the bacteria contaminating the formula. 

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