Rating is available when the video has been rented.
This feature is not available right now. Please try again later.
Published on Sep 22, 2010
Abbott Laboratories (NYSE:ABT) announced Wednesday a voluntary recall of millions of containers of its number 1 Similac powdered infant formulas after beetles were discovered in the products and in a Michigan plant where it is manufactured. The recall comes in the wake of reports from two consumers of contamination and its inspetion of an area of the plant in Sturgis, Michigan, where beetles or their larvae were discovered. The firm said "less than 5 million units" of Similac have been recalled in the United States, Guam, Puerto Rico and other Caribbean markets. Abbott spokeswoman Melissa Brotz said that all powdered product made in the factory is being recalled due to the remote possibility of contamination. She said, the firm's alternate factories will increase production of powdered Similac in order to meet demand. The company estimates the returns will cut about $100 million from its third quarter revenue, but still reaffirmed its profit forecast. SmarTrend is bullish on shares of Abbott Laboratories and our subscribers were alerted to buy on August 02, 2010 at $49.81. The stock has risen 4.5% since the alert was issued.