Moody's: Abbott's unchanged

Moody's Investors Service said Abbott Laboratories' A1 rating and negative outlook are unchanged following the announcement that it plans to sell its developed markets branded generic pharmaceutical business to Mylan Inc. (Baa3/stable).

The agency said the proposed sale is credit negative because Abbott will lose revenues and cash flow, which will place further pressure on credit metrics that are already weak for its rating.

However, Abbott will gain some financial flexibility since it can monetize its ownership of 21% of Mylan, the agency said.

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