Abbott's CEO Promised To Make A "significant" Investment After The Formula Was In Trouble

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Abbott chief executive Robert Ford said he would make a "major investment" to prevent the current shortage of infant formula in the United States from happening again. Ford wrote in a column that the company will expand production capacity and redundancy to increase the supply of formula in the United States. It will also invest in upgrading safety and quality processes and equipment.

Abbott closed its factory in Michigan in February because four formula fed children fell ill and two later died. The closure of the facility resulted in a severe shortage of infant formula, forcing desperate parents to rush to find ways to feed their children, and prompting the Biden administration to use emergency power to increase supply.

Abbott had previously said that infant illness should not be attributed to its formula, which Ford reiterated in his column. A senior FDA official said this week that it was too early to draw a conclusion.

Abbott reached an agreement with the US authorities this week to reopen the plant and promised that the FDA would take measures to ensure that it could safely produce formula.

Ford added that when the Michigan plant runs at full capacity, Abbott's current production of infant formula for the United States will more than double and will provide more products to Americans by the end of June than in January.

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