Moody's lifts Abbott to stable

Moody's Investors Service said it changed Abbott Laboratories' outlook to stable from negative following disclosure of Abbott's planned capital structure after separating its proprietary pharmaceutical business into a new public company, AbbVie, Inc.

The separation is expected to occur by the beginning of 2013.

At the same time, the agency said it affirmed Abbott's A1 long-term and Prime-1 short-term ratings.

"Based on Abbott's expected post-separation capital structure and our belief that management will moderate shareholder initiatives as well as acquisition activity, the company should be able to return to credit ratios that can support its A1 rating," said Diana Lee, a Moody's senior credit officer, in a news release.

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