UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D. C. 20549
FORM 11-K
FOR ANNUAL REPORTS OF EMPLOYEE STOCK PURCHASE, SAVINGS
AND SIMILAR PLANS PURSUANT TO SECTION 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
(Mark One)
x | ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the fiscal year ended December 31, 2019
OR
¨ | TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the transition period from ____________________ to _____________________
Commission File Number 1-2189
A. | Full title of the plan and the address of the plan, if different from that of the issuer named below: |
ABBOTT LABORATORIES STOCK RETIREMENT PROGRAM
B. | Name of issuer of the securities held pursuant to the plan and the address of its principal executive office: |
ABBOTT LABORATORIES
100 Abbott Park Road
Abbott Park, Illinois 60064-6049
FINANCIAL STATEMENTS AND
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
ABBOTT LABORATORIES STOCK RETIREMENT PLAN
DECEMBER 31, 2019 AND 2018
C O N T E N T S
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
Plan Administrator and Plan Participants
Abbott Laboratories Stock Retirement Plan
Opinion on the financial statements
We have audited the accompanying statements of net assets available for benefits of Abbott Laboratories Stock Retirement Plan (the “Plan”) as of December 31, 2019 and 2018, the related statement of changes in net assets available for benefits for the year ended December 31, 2019, and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the net assets available for benefits of the Plan as of December 31, 2019 and 2018, and the changes in net assets available for benefits for the year ended December 31, 2019 in conformity with accounting principles generally accepted in the United States of America.
Basis for opinion
These financial statements are the responsibility of the Plan’s management. Our responsibility is to express an opinion on the Plan’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Plan in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.
We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Plan is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Plan’s internal control over financial reporting. Accordingly, we express no such opinion.
Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.
3
Supplemental information
The schedule of assets (held at end of year) as of December 31, 2019 (“supplemental information”) has been subjected to audit procedures performed in conjunction with the audit of the Plan’s financial statements. The supplemental information is the responsibility of the Plan’s management. Our audit procedures included determining whether the supplemental information reconciles to the financial statements or the underlying accounting and other records, as applicable, and performing procedures to test the completeness and accuracy of the information presented in the supplemental information. In forming our opinion on the supplemental information, we evaluated whether the supplemental information, including its form and content, is presented in conformity with the Department of Labor’s Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974. In our opinion, the supplemental information is fairly stated, in all material respects, in relation to the financial statements as a whole.
/s/ Grant Thornton LLP |
We have served as the Plan’s auditor since 2002. |
Chicago, Illinois |
June 26, 2020 |
4
Abbott Laboratories Stock Retirement Plan
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS
December 31, 2019 and 2018
(Dollars in thousands)
2019 | 2018 | |||||||
Assets | ||||||||
Cash | $ | 652 | $ | 505 | ||||
Investments, at fair value | 10,950,124 | 9,807,801 | ||||||
Notes receivable from participants | 89,236 | 84,350 | ||||||
Accrued interest and dividend income | 1,431 | 6,958 | ||||||
Due from brokers | 312,311 | 256,213 | ||||||
Total assets | 11,353,754 | 10,155,827 | ||||||
Liabilities | ||||||||
Investments sold short, at fair value | 176,943 | 219,491 | ||||||
Accrued investment expenses | 340 | 318 | ||||||
Due to brokers | 219,039 | 511,309 | ||||||
Total liabilities | 396,322 | 731,118 | ||||||
NET ASSETS AVAILABLE FOR BENEFITS | $ | 10,957,432 | $ | 9,424,709 |
The accompanying notes are an integral part of these statements.
5
Abbott Laboratories Stock Retirement Plan
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
Year ended December 31, 2019
(Dollars in thousands)
Additions | ||||
Contributions | ||||
Employer | $ | 150,359 | ||
Participant | 287,791 | |||
Rollovers | 35,179 | |||
Total contributions | 473,329 | |||
Investment income | ||||
Net appreciation in fair value of investments | 1,582,843 | |||
Interest and dividends | 125,853 | |||
Net investment income | 1,708,696 | |||
Interest income on notes receivable from participants | 3,870 | |||
Total additions | 2,185,895 | |||
Deductions | ||||
Benefits paid to participants | 652,973 | |||
Other expenses | 199 | |||
Total deductions | 653,172 | |||
NET INCREASE | 1,532,723 | |||
Net assets available for benefits | ||||
Beginning of year | 9,424,709 | |||
End of year | $ | 10,957,432 |
The accompanying notes are an integral part of these statements.
6
Abbott Laboratories Stock Retirement Plan
December 31, 2019 and 2018
NOTE A - DESCRIPTION OF THE PLAN
The following description of the Abbott Laboratories Stock Retirement Plan (the “Plan”) provides only general information. Participants should refer to the Plan document for a more complete description of the Plan’s provisions.
General
The Plan is intended to constitute a profit-sharing plan under Section 401(a) of the Internal Revenue Code of 1986, as amended (the “IRC”), with a cash or deferred arrangement under IRC Section 401(k), and a portion of the Plan is intended to constitute an employee stock ownership plan that meets the applicable requirements of IRC Sections 409 and 4975(e)(7). The Plan is subject to the Employee Retirement Income Security Act of 1974, as amended (“ERISA”).
In general, United States employees of Abbott Laboratories (“Abbott”) and selected participating subsidiaries and affiliates may, after meeting certain employment requirements, voluntarily participate in the Plan. Beginning March 2017, newly hired employees in certain specified Abbott divisions and business units became eligible to participate in the Plan under a different structure (“Abbott Green” employees).
Alight Solutions serves as the record keeper of the Plan. The Northern Trust Company (“Custodian” or “Trustee”) serves as the Plan’s custodian and trustee.
Contributions and Vesting
Contributions to the Plan are paid to the Abbott Laboratories Stock Retirement Trust (“Trust”). The Trust is administered by the Trustee and an investment committee (the “Committee”).
Employees are eligible to commence participation in the Plan on any entry date following their date of hire. Eligible employees electing to participate contribute from 2% up to 25% of their eligible earnings, subject to certain limitations. Participants may choose to make their contributions from pretax earnings, after-tax earnings, or both. The Plan also permits Roth 401(k) contributions and has a Roth 401(k) conversion feature. Participants who have attained age 50 before the end of the Plan year and who are making the maximum pretax contributions are eligible to make catch-up contributions. Participants may elect to invest their contributions in any or all of the investment options available under the Plan, except for investment options closed to new contributions.
Employer matching contributions to the Plan are made each payroll period based on the participating employee’s eligible earnings, unless the employee has elected to participate as a Freedom 2 Save Participant as described below. The employer matching contribution for the year ended December 31, 2019 was 5% of the participant’s eligible earnings if the participant elected to contribute at least 2% of eligible earnings to the Plan.
7
Abbott Laboratories Stock Retirement Plan
NOTES TO FINANCIAL STATEMENTS - CONTINUED
December 31, 2019 and 2018
NOTE A - DESCRIPTION OF THE PLAN - Continued
Contributions and Vesting - Continued
Effective as of August 1, 2018, participants may enroll in the Freedom 2 Save program in the Plan. A Freedom 2 Save participant who makes qualified student loan repayments of at least 2% of eligible earnings may receive a Freedom 2 Save employer contribution of 5% of eligible earnings shortly after the end of the year. An enrolled Freedom 2 Save participant who makes elective deferrals to the Plan will not receive employer matching contributions each payroll period but instead may receive a true-up employer matching contribution shortly after the end of the year for any payroll period for which the participant makes elective deferrals and does not receive a Freedom 2 Save employer contribution. Freedom 2 Save employer contributions and true-up employer matching contributions are only made on behalf of Freedom 2 Save participants who meet program guidelines, and who either are employed or on a qualifying leave of absence at the end of the applicable Plan year or terminate employment due to death or qualifying disability during such Plan year.
Employer contributions are invested according to the participant’s investment elections.
Cash dividends on Abbott common shares are (1) paid in cash to the participants or beneficiaries, (2) paid to the Plan and distributed in cash to participants or beneficiaries no later than 90 days after the close of the Plan year for which paid, or (3) paid to the Plan and credited to the accounts in which shares are held, as elected by each participant or beneficiary in accordance with rules established by the administrator.
On January 1, 2013, Abbott separated into two publicly traded companies – Abbott and AbbVie Inc. ("AbbVie"). The separation of Abbott and AbbVie was a tax-free distribution where Abbott shareholders received one share of AbbVie stock for every share of Abbott held as of the close of business on December 12, 2012, the record date for the distribution. Participants who received AbbVie stock through this distribution may continue to hold the stock in their Plan accounts but may not make new contributions or transfer existing contributions or earnings to purchase AbbVie stock in the Plan; however, participants may elect to reinvest their AbbVie dividends in AbbVie stock. If no election is made, AbbVie dividends are invested in the Plan’s default investment option.
Participants may direct the Trustee to sell all or a portion of the Abbott and AbbVie common shares held in their accounts and reinvest the proceeds in any of the other available investment options.
8
Abbott Laboratories Stock Retirement Plan
NOTES TO FINANCIAL STATEMENTS - CONTINUED
December 31, 2019 and 2018
NOTE A - DESCRIPTION OF THE PLAN - Continued
Contributions and Vesting - Continued
Participants are at all times fully vested in their own contributions and earnings thereon. Vesting in employer contributions and earnings thereon is based on the following vesting schedule:
Vesting | ||||
Service | percentage | |||
Less than two years | 0 | % | ||
Two years or more | 100 | % |
For employees who became Abbott Green participants prior to January 1, 2018, employer contributions vest 20% after one year of service and 100% after two years of service. Abbott Green participants are also fully vested in employer contributions upon disability.
Non-vested portions of employer contributions and earnings thereon are forfeited as of an employee’s termination date. Forfeitures are used to (1) restore any forfeitures of participants who returned to service with Abbott within a given period of time, (2) pay Plan expenses and (3) reduce
future employer contributions if terminated participants do not return to service within the given period of time. In 2019, forfeitures reduced Abbott’s employer contributions by approximately $12.6 million. Approximately $535,000 and $361,000 in forfeitures were available at the end of 2019 and 2018, respectively.
Distributions and In-Service Withdrawals
Following retirement, termination or death (or for some participants from merged-in plans, upon disability), participants or their beneficiaries may elect to receive a distribution in installments, in a single lump sum or in a partial lump sum. Participants may elect a direct rollover of their accounts. Also, upon termination, participants may elect to defer distribution to a future date but, after termination of employment, distribution must be made by the 1st of April following the year the participant reaches age 70 ½ or, if earlier, the 31st of December following the year in which the participant dies. Interest, dividends and other earnings will continue to accrue on such deferred amounts.
Prior to termination, participants are permitted to withdraw their after-tax contributions (after-tax contributions made on or after January 8, 2016 may be withdrawn from the Plan only after being held for two or more years) and rollover contributions (including Roth rollover accounts and merged-in plan rollover accounts) and, after age 59 ½, may also withdraw pretax contributions. Distributions are made in cash or, to the extent contained in the participant’s account, a participant may elect distribution of Abbott and AbbVie common shares, and in each case, subject to certain limitations.
9
Abbott Laboratories Stock Retirement Plan
NOTES TO FINANCIAL STATEMENTS - CONTINUED
December 31, 2019 and 2018
NOTE A - DESCRIPTION OF THE PLAN - Continued
Receivable from Participants
Participants may convert their vested account balances into one or two loans to themselves. The borrowing may not exceed the lesser of the current market value of the assets allocated to their vested accounts or 50% of all of their Plan accounts up to $50,000, subject to IRC limitations and restrictions. Participants pay interest on such borrowings at the prime rate in effect at the time the participant loan is made. Loans must be repaid within five years (or by the employee’s anticipated retirement date, if sooner) unless the loan is used for the purchase of the primary residence of the employee, in which case the repayment period can be extended to a period of fifteen years (or until the employee’s anticipated retirement date, if sooner). Repayment is made through periodic payroll deductions or by sending in payments, but a loan may be repaid in a lump sum at any time. Post-termination loan repayments are permitted. For employees whose account is distributed during the repayment period, the balance of the outstanding loan is netted from their Plan distribution.
NOTE B - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of Accounting
The financial statements have been prepared using the accrual basis of accounting.
Use of Estimates
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and changes therein, and disclosure of contingent assets and liabilities. Actual results may differ from those estimates.
Investment Valuation
The Plan offers a variety of investment options to participants. Certain investment options are structured as separately managed accounts; therefore, the Plan owns the individual investment holdings within the separately managed accounts and reflects them within the investments of the Plan.
The Plan uses the following methods and significant assumptions to estimate the fair value of investments:
Common stock, mutual funds, REITs and futures contracts - Valued at the published market price per share or unit multiplied by the number of respective shares or units held.
10
Abbott Laboratories Stock Retirement Plan
NOTES TO FINANCIAL STATEMENTS - CONTINUED
December 31, 2019 and 2018
NOTE B - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Continued
Investment Valuation - Continued
Collective trust funds and Private 40-Act mutual funds - Valued at the net asset value (“NAV”) provided by the administrator of the fund. The NAV is used as a practical expedient to estimate fair value. The NAV is based on the value of the underlying assets owned by the fund, minus its liabilities, and then divided by the number of shares outstanding. Participants are permitted to make redemptions from the funds on a daily basis. Certain funds require five days’ notice for a Plan level redemption. The Private 40-Act mutual funds agree to redeem shares solely in cash up to the lesser of $250,000 or 1% of the fund’s net assets during any 90-day period for any one shareholder. In consideration of the best interests of the remaining shareholders, the Private 40-Act mutual funds reserve the right to pay any redemption proceeds exceeding this amount in whole or in part by a distribution in kind of securities held by the funds in lieu of cash. It is highly unlikely that shares would ever be redeemed in kind.
Corporate debt and government debt - Valued at the published market price or prices obtained from independent financial services industry-recognized vendors multiplied by the number of respective units held. Prices obtained from vendors are on the basis of bid or mid evaluations in accordance to a region’s market convention, using factors which include but are not limited to market quotations, yields, maturities, and the bond’s terms and conditions. Proprietary methods are used to arrive at the evaluated price, which represent the price a dealer would pay for a security.
Certificate of deposit - Valued at amortized cost, which approximates fair value given the instruments’ short duration of less than 130 days.
Futures contracts
One of the investment options structured as a separately managed account uses futures contracts as part of its investment strategy. A futures contract represents a commitment for the future purchase or sale of an asset or index at a specified price on a specified date. Futures contracts are exchange-traded and settle daily. Upon entering into the contracts, the investment manager of the separately managed account is required to deposit, either in cash or securities, an amount equal to a certain percentage of the notional value of the contract. Subsequent payments are then made or received by the Plan, depending on the daily fluctuation in the value of the underlying contracts.
As of December 31, 2019 and 2018, the Plan held futures contracts with a notional amount of approximately $2.3 million and $2.5 million, respectively. Notional amounts do not quantify risk or represent assets or liabilities of the Plan, but are used in the calculation of the cash settlements under the contracts. The fair value of these derivative contracts was not material at December 31, 2019 and 2018. Changes in fair value are accounted for as investment income within net appreciation in fair value of investments and totaled approximately $585,000 for the year ended December 31, 2019.
11
Abbott Laboratories Stock Retirement Plan
NOTES TO FINANCIAL STATEMENTS - CONTINUED
December 31, 2019 and 2018
NOTE B - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Continued
Investment Valuation - Continued
Short sales
One of the investment options structured as a separately managed account utilizes short sales as part of its investment strategy. Short sales are transactions in which the separately managed account sells an investment it does not own in anticipation of a decline in value of that investment. To complete the transaction, the separately managed account must borrow the investment to make delivery to the buyer. The separately managed account is obligated to replace the investment borrowed by purchasing the investment at market price at the time of replacement. The price at such time may be more or less than the price at which the investment was sold by the separately managed account. When an investment is sold short, a decrease in the value of the investment will be recognized as a gain and an increase in the value of the investment will be recognized as a loss.
The following tables summarize the basis used to measure investment assets and liabilities at fair value at December 31, 2019 and 2018 (dollars in thousands):
Basis of Fair Value Measurement | ||||||||||||||||||||
2019 | Quoted Prices in Active Markets | Significant Other Observable Inputs | Significant Unobservable Inputs | Measured at NAV | Total | |||||||||||||||
Assets - Investments: | ||||||||||||||||||||
Common stock | $ | 4,059,697 | $ | - | $ | - | $ | - | $ | 4,059,697 | ||||||||||
Mutual funds | 96,694 | - | - | - | 96,694 | |||||||||||||||
REITs | 29,638 | - | - | - | 29,638 | |||||||||||||||
Collective trust funds | - | - | - | 5,972,632 | 5,972,632 | |||||||||||||||
Corporate debt | - | 250,580 | - | - | 250,580 | |||||||||||||||
Government debt | - | 299,689 | - | - | 299,689 | |||||||||||||||
Certificate of deposit | - | 3,106 | - | - | 3,106 | |||||||||||||||
Private 40-Act mutual funds | - | - | - | 238,088 | 238,088 | |||||||||||||||
Total investments at fair value | $ | 4,186,029 | $ | 553,375 | $ | - | $ | 6,210,720 | $ | 10,950,124 |
Basis of Fair Value Measurement | ||||||||||||||||||||
2019 | Quoted Prices in Active Markets | Significant Other Observable Inputs | Significant Unobservable Inputs | Measured at NAV | Total | |||||||||||||||
Liabilities - Investments sold short: | ||||||||||||||||||||
Government debt | $ | - | $ | 176,943 | $ | - | $ | - | $ | 176,943 | ||||||||||
Total investments sold short at fair value | $ | - | $ | 176,943 | $ | - | $ | - | $ | 176,943 |
12
Abbott Laboratories Stock Retirement Plan
NOTES TO FINANCIAL STATEMENTS - CONTINUED
December 31, 2019 and 2018
NOTE B - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Continued
Investment Valuation - Continued
Basis of Fair Value Measurement | ||||||||||||||||||||
2018 | Quoted Prices in Active Markets | Significant Other Observable Inputs | Significant Unobservable Inputs | Measured at NAV | Total | |||||||||||||||
Assets - Investments: | ||||||||||||||||||||
Common stock | $ | 3,845,703 | $ | - | $ | - | $ | - | $ | 3,845,703 | ||||||||||
Mutual funds | 1,578,825 | - | - | - | 1,578,825 | |||||||||||||||
REITs | 23,533 | - | - | - | 23,533 | |||||||||||||||
Collective trust funds | - | - | - | 3,179,861 | 3,179,861 | |||||||||||||||
Corporate debt | - | 260,227 | - | - | 260,227 | |||||||||||||||
Government debt | - | 464,338 | - | - | 464,338 | |||||||||||||||
Certificate of deposit | - | 4,400 | - | - | 4,400 | |||||||||||||||
Self-directed brokerage accounts | 22,281 | - | - | - | 22,281 | |||||||||||||||
Private 40-Act mutual funds | - | - | - | 428,633 | 428,633 | |||||||||||||||
Total investments at fair value | $ | 5,470,342 | $ | 728,965 | $ | - | $ | 3,608,494 | $ | 9,807,801 |
Basis of Fair Value Measurement | ||||||||||||||||||||
2018 | Quoted Prices in Active Markets | Significant Other Observable Inputs | Significant Unobservable Inputs | Measured at NAV | Total | |||||||||||||||
Liabilities - Investments sold short: | ||||||||||||||||||||
Government debt | $ | - | $ | 219,491 | $ | - | $ | - | $ | 219,491 | ||||||||||
Total investments sold short at fair value | $ | - | $ | 219,491 | $ | - | $ | - | $ | 219,491 |
The Private 40-Act mutual funds are not direct filing entities. These funds invest in fixed income instruments of varying maturities. The investment objective of one fund is to seek maximum current income and the other is to seek maximum total return, both being consistent with preservation of capital and liquidity.
Notes Receivable from Participants
Notes receivable from participants are measured at their unpaid balance plus any accrued but unpaid interest. Delinquent loans are reclassified as distributions based upon the terms of the Plan. No allowance for credit losses has been recorded as of December 31, 2019 or 2018.
13
Abbott Laboratories Stock Retirement Plan
NOTES TO FINANCIAL STATEMENTS - CONTINUED
December 31, 2019 and 2018
NOTE B - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Continued
Income Recognition
Purchases and sales of securities are recorded on a trade-date basis. Interest income is recorded on an accrual basis. Dividends are recorded on the ex-dividend date. Net realized and unrealized appreciation/depreciation is recorded in the accompanying statement of changes in net assets available for benefits as net appreciation in fair value of investments.
Administrative Expenses
Participants are charged transaction fees for loan processing and commissions on purchases and sales of Abbott shares and sales of AbbVie stock. Investment fees for mutual funds, REITs, collective trusts, and managed accounts are charged against the net assets of the respective fund. Abbott pays other record-keeping and administration fees, where applicable.
Payment of Benefits
Benefits are recorded when paid.
NOTE C - INVESTMENTS
Distributions of Abbott common shares and conversions of participants’ common share account balances to participant loans or other investment options are recorded at fair market value.
A summary of Abbott common share data as of December 31, 2019 and 2018 is presented below:
2019 | 2018 | |||||||
Abbott common shares, 28,371,110 and 29,425,544 shares, respectively (dollars in thousands) | $ | 2,464,315 | $ | 2,128,350 | ||||
Market value per share | $ | 86.86 | $ | 72.33 |
In general, the investments provided by the Plan are exposed to various risks, such as interest rate, credit and overall market volatility risks. Due to the level of risk associated with certain investment securities, it is reasonably possible that changes in the values of investment securities will occur in the near term and that such changes could materially affect participant accounts and the amounts reported in the statements of net assets available for benefits.
14
Abbott Laboratories Stock Retirement Plan
NOTES TO FINANCIAL STATEMENTS - CONTINUED
December 31, 2019 and 2018
NOTE D - RELATED-PARTY AND PARTY-IN-INTEREST TRANSACTIONS
The Plan holds units of collective trust funds managed by the Trustee and shares of the Trustee’s common stock. A significant portion of the Plan’s assets is invested in Abbott common shares. These transactions qualify as party-in-interest transactions; however, they are exempt from the prohibited transaction rules under ERISA. During 2019, the Plan received $37 million in common stock dividends from Abbott.
Participants pay fees to the recordkeeper for loan transaction processing and for commissions on purchases and sales of Abbott shares and sales of AbbVie stock. These transactions qualify as permitted party-in-interest transactions.
NOTE E - PLAN TERMINATION
The Plan may be terminated at any time by Abbott upon written notice to the Trustee and Committee. All participants’ account balances would become fully vested upon Plan termination. Upon termination of the Plan, distributions of each participant’s share in the Trust, as determined by the terms of the Plan, would be made to each participant. At the present time, Abbott has no intention of terminating the Plan.
NOTE F - TAX STATUS
The Internal Revenue Service (“IRS”) has determined and informed Abbott by a letter dated May 19, 2017, that the Plan and related Trust are designed in accordance with applicable sections of the IRC. The Plan has been amended since the applicable date of the determination letter. However, the Plan administrator believes that the Plan is designed and is currently being operated, in all material respects, in accordance with the applicable requirements of the IRC.
Accounting principles generally accepted in the United States of America require Plan management to evaluate tax positions taken by the Plan and recognize a tax liability if the organization has taken an uncertain position that more likely than not would not be sustained upon examination by the IRS or other applicable taxing authorities. The Plan administrator has analyzed the tax positions taken by the Plan, and has concluded that as of December 31, 2019 and 2018, there are no uncertain positions taken or expected to be taken that would require recognition of a liability or disclosure in the financial statements. The Plan is subject to routine audits by taxing jurisdictions. There are currently no audits in progress.
15
Abbott Laboratories Stock Retirement Plan
NOTES TO FINANCIAL STATEMENTS - CONTINUED
December 31, 2019 and 2018
NOTE G - SUBSEQUENT EVENTS
Management of the Plan has evaluated subsequent events from December 31, 2019 through the date these financial statements were issued. In March 2020, the World Health Organization declared the outbreak of a novel coronavirus (COVID-19) as a pandemic. The spread of COVID-19 has caused significant volatility in U.S. and international markets. There is significant uncertainty around the breadth and duration of business disruptions related to COVID-19, as well as its impact on the U.S. and international economies. Management of the Plan is not aware of any other subsequent events that require recognition or additional disclosure in these financial statements.
16
Abbott Laboratories Stock Retirement Plan |
SCHEDULE H, LINE 4i - SCHEDULE OF ASSETS (HELD AT END OF YEAR) |
December 31, 2019 |
(Dollars in thousands) |
Identity of party involved/ | Current | |||||
Description of asset/ Rate/ Maturity | Cost (a) | value | ||||
Common stock - employer securities | ||||||
*ABBOTT LABORATORIES, common shares | $ | 2,464,315 | ||||
Common stock | ||||||
1ST CTZNS BANCSHARES INC CL A | 157 | |||||
2U INC COM | 35 | |||||
5TH 3RD BANCORP | 927 | |||||
ABBVIE INC. | 1,418,959 | |||||
ACADIA HEALTHCARE CO INC COM | 120 | |||||
ACUITY BRANDS INC COM | 174 | |||||
ADAPTIVE BIOTECHNOLOGIES CORP | 6 | |||||
ADT INC DEL COM | 38 | |||||
ADVANCE AUTO PTS INC COM | 344 | |||||
AECOM | 288 | |||||
AES CORP COM | 564 | |||||
AFFILIATED MANAGERS GROUP INC COM STK | 180 | |||||
AGCO CORP COM | 205 | |||||
AGILENT TECHNOLOGIES INC COM | 1,016 | |||||
AGIOS PHARMACEUTICALS INC COM | 109 | |||||
AIR LEASE CORP CL A CL A | 198 | |||||
AKAMAI TECHNOLOGIES INC COM STK | 50 | |||||
ALASKA AIR GROUP INC COM | 191 | |||||
ALBEMARLE CORP COM | 328 | |||||
ALKERMES PLC SHS | 139 | |||||
ALLEGHANY CORP DEL COM | 428 | |||||
ALLEGION PLC COMMON STOCK | 120 | |||||
ALLIANCE DATA SYS CORP COM | 169 | |||||
ALLIANT ENERGY CORP COM | 559 | |||||
ALLY FINL INC COM | 495 | |||||
ALNYLAM PHARMACEUTICALS INC COM | 83 | |||||
AMDOCS ORD GBP0.01 | 417 | |||||
AMER FINL GROUP INC OH COM STK | 343 | |||||
AMER NATL INS CO COM | 37 | |||||
AMERCO COM | 139 | |||||
AMEREN CORP COM | 804 | |||||
AMERICAN AIRLINES INC COM | 431 | |||||
AMERICAN WTR WKS CO INC NEW COM | 943 | |||||
AMERIPRISE FINL INC COM | 774 | |||||
AMETEK INC NEW COM | 200 | |||||
ANTERO MIDSTREAM CORPORATION | 82 | |||||
ANTERO RES CORP COM | 31 | |||||
APACHE CORP COM | 412 | |||||
APERGY CORP COM | 109 | |||||
APTARGROUP INC COM | 186 | |||||
APTIV PLC COM USD | 973 | |||||
ARAMARK COM | 454 | |||||
ARCH CAPITAL GROUP COM STK | 607 | |||||
ARCHER-DANIELS-MIDLAND CO COM | 1,098 | |||||
ARDAGH GROUP S A ARDAGH GROUP S A | 15 | |||||
ARROW ELECTR INC COM | 290 | |||||
ASHLAND GLOBAL HLDGS INC COM | 194 | |||||
ASSOCTD BANC-CORP COM | 149 | |||||
ASSURANT INC COM | 336 | |||||
ASSURED GUARANTY LTD COMMON STK | 193 |
18
Abbott Laboratories Stock Retirement Plan |
SCHEDULE H, LINE 4i - SCHEDULE OF ASSETS (HELD AT END OF YEAR) - Continued |
December 31, 2019 |
(Dollars in thousands) |
Identity of party involved/ | Current | |||||
Description of asset/ Rate/ Maturity | Cost (a) | value | ||||
Common stock - continued | ||||||
ATHENE HOLDING LTD | 173 | |||||
ATMOS ENERGY CORP COM | 560 | |||||
AUTONATION INC COM | 113 | |||||
AVANGRID INC COM | 120 | |||||
AVANTOR INC COM | 70 | |||||
AVERY DENNISON CORP COM | 30 | |||||
AVNET INC COM | 180 | |||||
AXALTA COATING SYSTEMS LTD | 187 | |||||
AXIS CAPITAL HOLDINGS LTD | 191 | |||||
BAKER HUGHES CO | 710 | |||||
BANK OZK COM | 161 | |||||
BANKUNITED INC | 144 | |||||
BERKLEY W R CORP COM | 424 | |||||
BERRY GLOBAL GROUP INC | 167 | |||||
BEST BUY INC COM STK | 670 | |||||
BEYOND MEAT INC | 153 | |||||
BGC PARTNERS INC CL A CL A | 77 | |||||
BIO RAD LABS INC CL A | 335 | |||||
BK HAW CORP COM | 158 | |||||
BLOCK H & R INC COM | 169 | |||||
BLUEBIRD BIO INC COM | 208 | |||||
BOK FINL CORP COM NEW | 118 | |||||
BORG WARNER INC COM | 381 | |||||
BRIGHTHOUSE FINL INC COM | 180 | |||||
BROWN & BROWN INC COM | 373 | |||||
BROWN FORMAN CORP CL A CL A | 9 | |||||
BROWN-FORMAN INC CL B NON-VTG COM | 32 | |||||
BRUNSWICK CORP COM | 207 | |||||
BUNGE LTD | 339 | |||||
BWX TECHNOLOGIES INC COM | 63 | |||||
C H ROBINSON WORLDWIDE INC COM NEW COM NEW | 103 | |||||
CABOT CORP COM | 115 | |||||
CABOT OIL & GAS CORP COM | 113 | |||||
CACI INTL INC CL A CL A | 263 | |||||
CAESARS ENTERTAINMENT CORP | 331 | |||||
CAMPBELL SOUP CO COM | 155 | |||||
CANTEL MEDICAL CORP COM | 47 | |||||
CAPRI HOLDINGS LTD | 133 | |||||
CARDINAL HLTH INC | 630 | |||||
CARLISLE COMPANIES INC COM | 51 | |||||
CARMAX INC COM | 322 | |||||
CARTER INC | 112 | |||||
CASEYS GEN STORES INC COM | 187 | |||||
CATALENT INC COM | 349 | |||||
CBOE GLOBAL MARKETS INC | 428 | |||||
CBRE GROUP INC CL A CL A | 554 | |||||
CELANESE CORP DEL COM SER A STK | 631 | |||||
CENTENE CORP | 65 | |||||
CENTENE CORP DEL COM | 182 | |||||
CENTENNIAL RESOURCE DEVELOPMENT INC | 37 | |||||
CENTERPOINT ENERGY INC COM | 586 | |||||
CENTURYLINK INC COM | 615 | |||||
CERENCE INC COM | 34 |
19
Abbott Laboratories Stock Retirement Plan |
SCHEDULE H, LINE 4i - SCHEDULE OF ASSETS (HELD AT END OF YEAR) - Continued |
December 31, 2019 |
(Dollars in thousands) |
Identity of party involved/ | Current | |||||
Description of asset/ Rate/ Maturity | Cost (a) | value | ||||
Common stock - continued | ||||||
CERIDIAN HCM HLDG INC COM | 49 | |||||
CF INDS HLDGS INC COM | 400 | |||||
CHANGE HEALTHCARE INC COM | 16 | |||||
CHEMOURS CO COM | 123 | |||||
CHENIERE ENERGY INC COM NEW | 253 | |||||
CHESAPEAKE ENERGY CORP COM | 45 | |||||
CHOICE HOTELS INTL INC COM | 82 | |||||
CIENA CORP COM NEW | 283 | |||||
CIMAREX ENERGY CO COM | 226 | |||||
CIN FNCL CORP COM | 684 | |||||
CINEMARK HLDGS INC COM | 157 | |||||
CIT GROUP INC NEW COM NEW COM NEW | 171 | |||||
CITIZENS FINL GROUP INC COM | 751 | |||||
CITRIX SYS INC COM | 64 | |||||
CLEAN HBRS INC COM | 191 | |||||
CLOROX CO COM | 151 | |||||
CMS ENERGY CORP COM | 761 | |||||
CNA FNCL CORP COM | 51 | |||||
COHERENT INC COM | 167 | |||||
COLFAX CORP COM | 141 | |||||
COLUMBIA SPORTSWEAR CO COM | 43 | |||||
COM ALCOA CORPORATION | 173 | |||||
COMERICA INC COM | 412 | |||||
COMM BANCSHARES INC COM | 291 | |||||
COMMSCOPE HLDG CO INC COM | 113 | |||||
CONAGRA BRANDS INC COM | 706 | |||||
CONCHO RES INC COM STK | 745 | |||||
CONS EDISON INC COM | 1,282 | |||||
CONTINENTAL RES INC COM | 124 | |||||
COOPER COS INC COM NEW COM NEW | 578 | |||||
COPA HOLDINGS SA COM STK | 143 | |||||
CORELOGIC INC-W/I COM STK | 139 | |||||
CORNING INC COM | 642 | |||||
CORTEVA INC COM | 948 | |||||
COTY INC COM CL A | 142 | |||||
COVETRUS INC | 53 | |||||
CRANE CO COM | 187 | |||||
CREDIT ACCEP CORP MICH COM | 23 | |||||
CREE INC COM | 194 | |||||
CROWN HLDGS INC COM | 172 | |||||
CULLEN / FROST BANKERS INC COM | 237 | |||||
CUMMINS INC | 1,140 | |||||
CURTISS WRIGHT CORP COM | 257 | |||||
CYPRESS SEMICONDUCTOR CORP COM | 366 | |||||
D R HORTON INC COM | 754 | |||||
DAVITA INC COM | 316 | |||||
DENTSPLY SIRONA INC COM | 539 | |||||
DEVON ENERGY CORP NEW COM | 423 | |||||
DIAMONDBACK ENERGY INC COM | 501 | |||||
DICKS SPORTING GOODS INC OC-COM OC-COM | 136 | |||||
DISCOVER FINL SVCS COM STK | 734 | |||||
DISCOVERY INC | 438 | |||||
DISCOVERY INC - A | 219 |
20
Abbott Laboratories Stock Retirement Plan |
SCHEDULE H, LINE 4i - SCHEDULE OF ASSETS (HELD AT END OF YEAR) - Continued |
December 31, 2019 |
(Dollars in thousands) |
Identity of party involved/ | Current | |||||
Description of asset/ Rate/ Maturity | Cost (a) | value | ||||
Common stock - continued | ||||||
DISH NETWORK CORP | 392 | |||||
DOLBY LABORATORIES INC | 163 | |||||
DOLLAR GEN CORP | 101 | |||||
DOLLAR TREE INC | 434 | |||||
DOMTAR CORP | 92 | |||||
DOVER CORP | 401 | |||||
DTE ENERGY CO | 1,024 | |||||
DUNKIN BRANDS GROUP INC | 17 | |||||
DXC TECHNOLOGY CO COM | 410 | |||||
DYNATRACE INC COM | 13 | |||||
E TRADE FINL CORP | 357 | |||||
EAGLE MATLS INC COM | 26 | |||||
EAST WEST BANCORP INC COM | 301 | |||||
EASTMAN CHEM CO COM | 462 | |||||
EATON VANCE CORP COM NON VTG | 217 | |||||
ECHOSTAR CORPORATION | 91 | |||||
EDISON INTL COM | 1,123 | |||||
ELANCO ANIMAL HEALTH INC COM | 470 | |||||
ELEMENT SOLUTION INC COM | 68 | |||||
ENCOMPASS HEALTH CORP | 146 | |||||
ENERGIZER HLDGS INC NEW COM | 133 | |||||
ENTERGY CORP NEW COM | 1,012 | |||||
ENVISTA HLDGS CORP COM | 64 | |||||
EQT CORP COM | 116 | |||||
EQUIFAX INC COM | 108 | |||||
EQUITABLE HLDGS | 439 | |||||
EQUITRANS MIDSTREAM CORP COM NPV WI | 102 | |||||
ERIE INDTY CO CL A | 57 | |||||
ESSENTIAL UTILS | 432 | |||||
EVERCORE INC | 78 | |||||
EVEREST RE GROUP COM | 330 | |||||
EVERGY INC COM NPV | 631 | |||||
EVERSOURCE ENERGY COM | 1,172 | |||||
EXELIXIS INC COM STK | 130 | |||||
EXPEDIA GROUP INC | 82 | |||||
EXPEDITORS INTL WASH INC COM | 167 | |||||
EXTENDED STAY AMER INC | 116 | |||||
F N B CORP PA COM | 178 | |||||
F5 NETWORKS INC COM STK | 26 | |||||
FASTENAL CO COM | 84 | |||||
FIDELITY NATL FINL INC | 511 | |||||
FIRST AMERN FINL CORP COM STK | 271 | |||||
FIRST HAWAIIAN INC COM | 163 | |||||
FIRST HORIZON NATL CORP COM | 216 | |||||
FIRST REP BK SAN FRANCISCO CALIF NEW COM | 683 | |||||
FIRST SOLAR INC COM | 199 | |||||
FIRSTENERGY CORP COM | 1,117 | |||||
FLIR SYS INC COM | 274 | |||||
FLOWERS FOODS INC COM | 183 | |||||
FLOWSERVE CORP COM | 220 | |||||
FLUOR CORP NEW COM | 110 | |||||
FMC CORP COM (NEW) | 549 | |||||
FOOT LOCKER INC COM | 177 |
21
Abbott Laboratories Stock Retirement Plan |
SCHEDULE H, LINE 4i - SCHEDULE OF ASSETS (HELD AT END OF YEAR) - Continued |
December 31, 2019 |
(Dollars in thousands) |
Identity of party involved/ | Current | |||||
Description of asset/ Rate/ Maturity | Cost (a) | value | ||||
Common stock - continued | ||||||
FORTIVE CORP COM MON STOCK | 749 | |||||
FORTUNE BRANDS HOME & SEC INC COM | 265 | |||||
FOX CORP CL A CL A | 502 | |||||
FOX CORP CL B CL B | 230 | |||||
FREEPORT-MCMORAN INC | 813 | |||||
FRKLN RES INC COM | 306 | |||||
FRONTDOOR INC COM | 174 | |||||
GALLAGHER ARTHUR J & CO COM | 590 | |||||
GAP INC COM | 161 | |||||
GARMIN LTD COMMON STOCK | 605 | |||||
GATES INDL CORP PL | 26 | |||||
GCI LIBERTY INC COM NPV CL A | 297 | |||||
GENTEX CORP COM | 310 | |||||
GENUINE PARTS CO COM | 638 | |||||
GLOBE LIFE INC COM | 475 | |||||
GOODYEAR TIRE & RUBBER CO COM | 157 | |||||
GRAFTECH INTL LTD COM | 30 | |||||
GRAHAM HLDGS CO COM CL B COM | 112 | |||||
GRAND CANYON ED INC COM STK | 173 | |||||
GRAPHIC PACKAGING HLDG CO COM STK | 203 | |||||
GROCERY OUTLET HLDG CORP COM | 37 | |||||
HAIN CELESTIAL GROUP INC COM | 92 | |||||
HALLIBURTON CO COM | 910 | |||||
HANESBRANDS INC COM STK | 50 | |||||
HANOVER INS GROUP INC COM | 232 | |||||
HARLEY DAVIDSON | 242 | |||||
HARTFORD FINL SVCS GROUP INC COM | 929 | |||||
HAWAIIAN ELEC INDS INC COM | 218 | |||||
HD SUPPLY HLDGS INC. COM | 284 | |||||
HELMERICH & PAYNE INC COM | 209 | |||||
HENRY SCHEIN INC COMMON STOCK | 363 | |||||
HERBALIFE NUTRITION LTD COM STK | 172 | |||||
HERSHEY COMPANY | 113 | |||||
HESS CORP COM STK | 762 | |||||
HEWLETT PACKARD ENTERPRISE CO COM | 884 | |||||
HEXCEL CORP NEW COM | 17 | |||||
HILL-ROM HLDGS INC COM STK | 153 | |||||
HILTON GRAND VACATIONS INC COM | 107 | |||||
HOLLYFRONTIER CORP COM | 322 | |||||
HOLOGIC INC COM | 114 | |||||
HORIZON THERAPEUTICS PLC | 252 | |||||
HORMEL FOODS CORP COM | 530 | |||||
HOWARD HUGHES CORP COM STOCK | 146 | |||||
HOWMET | 503 | |||||
HUBBELL INC COM | 156 | |||||
HUNT J B TRANS SVCS INC COM | 296 | |||||
HUNTINGTON BANCSHARES INC COM | 659 | |||||
HUNTINGTON INGALLS INDS INC COM | 88 | |||||
HUNTSMAN CORP COM STK | 222 | |||||
HYATT HOTELS CORP COM CL A COM CL A | 141 | |||||
IAA SPINCO INC | 24 | |||||
IAC / INTERACTIVECORP COM | 332 | |||||
ICU MED INC COM | 104 |
22
Abbott Laboratories Stock Retirement Plan |
SCHEDULE H, LINE 4i - SCHEDULE OF ASSETS (HELD AT END OF YEAR) - Continued |
December 31, 2019 |
(Dollars in thousands) |
Identity of party involved/ | Current | |||||
Description of asset/ Rate/ Maturity | Cost (a) | value | ||||
Common stock - continued | ||||||
IDACORP INC COM | 230 | |||||
IDEX CORP COM | 278 | |||||
IHS MARKIT LTD COM | 473 | |||||
INGERSOLL | 204 | |||||
INGREDION INC COM | 266 | |||||
INTEGRA LIFESCIENCES HLDG CORP COM DESP | 178 | |||||
INTERACTIVE BROKERS GROUP INC CL COM | 107 | |||||
INTERNATIONAL GAME TECHNOLOGY | 61 | |||||
INTERPUBLIC GROUP COMPANIES INC COM | 345 | |||||
INTL FLAVORS & FRAGRANCES INC COM | 588 | |||||
INTL PAPER CO COM | 773 | |||||
INVESCO LTD | 291 | |||||
IPG PHOTONICS CORP COM | 205 | |||||
IQVIA HLDGS INC | 666 | |||||
ITT INC COM | 277 | |||||
JABIL INC | 208 | |||||
JACK HENRY & ASSOC INC COM | 55 | |||||
JACOBS ENGR GROUP INC COM | 507 | |||||
JANUS HENDERSON GROUP PLC | 162 | |||||
JAZZ PHARMACEUTICALS PLC | 39 | |||||
JEFFERIES FINL GROUP INC COM | 243 | |||||
JETBLUE AWYS CORP COM | 209 | |||||
JONES LANG LASALLE INC COM STK | 339 | |||||
JUNIPER NETWORKS INC COM | 349 | |||||
KAR AUCTION SVCS INC COM STK | 11 | |||||
KELLOGG CO | 449 | |||||
KEMPER CORP DEL COM | 166 | |||||
KEYCORP NEW COM | 845 | |||||
KIRBY CORP COM | 228 | |||||
KNIGHT-SWIFT TRANSN HLDGS INC CL A | 189 | |||||
KOHLS CORP COM | 344 | |||||
KOSMOS ENERGY LTD | 86 | |||||
KROGER CO COM | 979 | |||||
KS CY SOUTHN | 644 | |||||
L BRANDS INC COM | 151 | |||||
L3HARRIS TECHNOLOGIES INC COM | 923 | |||||
LAB CORP AMER HLDGS COM NEW | 655 | |||||
LAM RESH CORP COM | 217 | |||||
LAMB WESTON HLDGS INC | 398 | |||||
LANDSTAR SYS INC COM | 18 | |||||
LAZARD LTD CL A | 108 | |||||
LEAR CORP COM NEW COM NEW | 358 | |||||
LEGG MASON INC COM | 129 | |||||
LEGGETT & PLATT INC COM | 285 | |||||
LEIDOS HLDGS INC COM | 557 | |||||
LENNAR CORP CL A CL A | 384 | |||||
LENNAR CORP CL B CL B | 16 | |||||
LENNOX INTL INC COM | 31 | |||||
LIBERTY BROADBAND CORP COM SER A COM SERA | 128 | |||||
LIBERTY BROADBAND CORP COM SER C COM SERC | 567 | |||||
LIBERTY MEDIA CORP | 317 | |||||
LIBERTY MEDIA CORP | 176 | |||||
LIBERTY MEDIA CORP | 46 |
23
Abbott Laboratories Stock Retirement Plan |
SCHEDULE H, LINE 4i - SCHEDULE OF ASSETS (HELD AT END OF YEAR) - Continued |
December 31, 2019 |
(Dollars in thousands) |
Identity of party involved/ | Current | |||||
Description of asset/ Rate/ Maturity | Cost (a) | value | ||||
Common stock - continued | ||||||
LIBERTY MEDIA CORPORATION | 388 | |||||
LINCOLN ELEC HLDGS INC COM | 14 | |||||
LINCOLN NATL CORP COM | 503 | |||||
LIONS GATE ENTMT CORP CL B NON VTG NON VOTING SHS CL B | 48 | |||||
LIONS GATE ENTMT CORP VOTING SHARES CL A | 21 | |||||
LITTELFUSE INC COM | 191 | |||||
LKQ CORP COM LKQ CORP | 402 | |||||
LOEWS CORP COM | 572 | |||||
LOGMEIN INC COM | 176 | |||||
LYFT INC CL A CL A | 311 | |||||
M & T BK CORP COM | 951 | |||||
MACQUARIE INFRASTRUCTURE CORP | 131 | |||||
MACYS INC COM STK | 226 | |||||
MADISON SQUARE GARDEN CO NEW CL A CL A | 213 | |||||
MANPOWERGROUP INC | 241 | |||||
MARATHON OIL CORP COM | 467 | |||||
MARKEL CORP HOLDING CO COM | 607 | |||||
MARTIN MARIETTA MATLS INC COM | 518 | |||||
MARVELL TECH GROUP | 750 | |||||
MASCO CORP COM | 583 | |||||
MATTEL INC | 60 | |||||
MAXIM INTEGRATED PRODS INC COM | 444 | |||||
MC CORMICK & CO INC COM NON-VTG | 315 | |||||
MCKESSON CORP | 945 | |||||
MDU RES GROUP INC COM | 250 | |||||
MEDALLIA INC COM | 4 | |||||
MEDNAX INC COM | 99 | |||||
MERCURY GEN CORP NEW COM | 54 | |||||
MGIC INVT CORP WIS COM | 208 | |||||
MGM RESORTS INTERNATIONAL COM | 648 | |||||
MICROCHIP TECHNOLOGY INC COM | 748 | |||||
MKS INSTRS INC COM | 254 | |||||
MODERNA INC COM | 17 | |||||
MOHAWK INDS INC COM | 341 | |||||
MOLINA HEALTHCARE INC COM | 78 | |||||
MOLSON COORS BEVERAGE COMPANY | 401 | |||||
MOSAIC CO/THE | 318 | |||||
MOTOROLA SOLUTIONS INC | 307 | |||||
MSC INDL DIRECT INC CL A COM | 143 | |||||
MURPHY OIL CORP COM | 173 | |||||
MYLAN NV | 442 | |||||
NASDAQ INC | 522 | |||||
NATIONAL INSTRS CORP COM | 223 | |||||
NATIONAL OILWELL VARCO COM STK | 413 | |||||
NATL FUEL GAS CO COM | 165 | |||||
NAVIENT CORP COM | 116 | |||||
NEKTAR THERAPEUTICS COM | 128 | |||||
NEW YORK CMNTY BANCORP INC COM | 233 | |||||
NEW YORK TIMES CO CL A | 177 | |||||
NEWELL BRANDS INC COM | 312 | |||||
NEWMARKET CORP COM | 9 | |||||
NEWMONT CORPORATION | 1,512 | |||||
NEWS CORP COM CL A | 233 |
24
Abbott Laboratories Stock Retirement Plan |
SCHEDULE H, LINE 4i - SCHEDULE OF ASSETS (HELD AT END OF YEAR) - Continued |
December 31, 2019 |
(Dollars in thousands) |
Identity of party involved/ | Current | |||||
Description of asset/ Rate/ Maturity | Cost (a) | value | ||||
Common stock - continued | ||||||
NEWS CORP COM CL B | 72 | |||||
NEXSTAR MEDIA GROUP INC CL A CL A | 49 | |||||
NIELSEN HOLDINGS PLC COMSTK | 270 | |||||
NISOURCE INC COM | 443 | |||||
NOBLE ENERGY INC COM | 504 | |||||
NORDSON CORP COM | 35 | |||||
*NORTHERN TR CORP COM | 882 | |||||
NORTONLIFE LOCK INC | 632 | |||||
NORWEGIAN CRUISE LINE HLDGS LTD | 420 | |||||
NRG ENERGY INC COM NEW | 428 | |||||
NU SKIN ENTERPRISES INC CL A CL A | 94 | |||||
NUANCE COMMUNICATIONS INC COM | 218 | |||||
NUCOR CORP COM | 733 | |||||
NVENT ELECTRIC PLC | 163 | |||||
OGE ENERGY CORP COM | 378 | |||||
O-I GLASS INC COM | 77 | |||||
OLD DOMINION FREIGHT LINE INC COM | 306 | |||||
OLD REP INTL CORP COM | 269 | |||||
OLIN CORP COM | 117 | |||||
OMNICOM GROUP INC COM | 349 | |||||
ON SEMICONDUCTOR CORP COM | 424 | |||||
ONEMAIN HLDGS INC COM | 115 | |||||
ONEOK INC COM STK | 901 | |||||
OSHKOSH CORPORATION | 276 | |||||
OWENS CORNING NEW COM STK | 299 | |||||
PACCAR INC COM | 1,141 | |||||
PACKAGING CORP AMER | 447 | |||||
PACWEST BANCORP DEL COM | 194 | |||||
PARKER-HANNIFIN CORP COM | 1,121 | |||||
PARSLEY ENERGY INC CL A CL A | 91 | |||||
PATTERSON-UTI ENERGY INC COM | 85 | |||||
PBF ENERGY INC CL A CL A | 162 | |||||
PENSKE AUTOMOTIVE GROUP INC COM STK | 73 | |||||
PENTAIR PLC | 329 | |||||
PEOPLES UTD FINL INC COM | 317 | |||||
PERKINELMER INC COM | 356 | |||||
PERRIGO COMPANY LIMITED | 278 | |||||
PG& E CORP COM | 247 | |||||
PILGRIMS PRIDE CORP | 47 | |||||
PINNACLE FINL PARTNERS INC COM | 206 | |||||
PINNACLE W. CAP CORP COM | 430 | |||||
PIONEER NAT RES CO COM | 609 | |||||
POLARIS INC | 25 | |||||
POPULAR INC | 240 | |||||
POST HLDGS INC COM STK | 169 | |||||
PPL CORP | 1,103 | |||||
PREMIER INC CL A CL A | 99 | |||||
PRIMERICA INC COM | 64 | |||||
PRINCIPAL FINL GROUP INC COM STK | 650 | |||||
PROSPERITY BANCSHARES INC COM | 250 | |||||
PUB SERVICE ENTERPRISE GROUP INC COM | 1,269 | |||||
PULTE GROUP INC | 416 | |||||
PVH CORP | 328 |
25
Abbott Laboratories Stock Retirement Plan |
SCHEDULE H, LINE 4i - SCHEDULE OF ASSETS (HELD AT END OF YEAR) - Continued |
December 31, 2019 |
(Dollars in thousands) |
Identity of party involved/ | Current | |||||
Description of asset/ Rate/ Maturity | Cost (a) | value | ||||
Common stock - continued | ||||||
QIAGEN NV | 319 | |||||
QORVO INC COM | 574 | |||||
QUANTA SVCS INC COM | 187 | |||||
QUEST DIAGNOSTICS INC COM | 612 | |||||
QURATE RETAIL INC | 135 | |||||
RALPH LAUREN CORP CL A CL A | 246 | |||||
RANGE RES CORP COM | 42 | |||||
RAYMOND JAMES FNCL INC COM STK | 364 | |||||
REGAL BELOIT CORP | 148 | |||||
REGIONS FINL CORP NEW COM | 704 | |||||
REINSURANCE GROUP AMER INC COM NEW STK | 435 | |||||
RELIANCE STL & ALUM CO COM | 333 | |||||
RENAISSANCE RE HLDGS LTD COM | 227 | |||||
REPUBLIC SVCS INC COM | 763 | |||||
RESIDEO TECHNOLOGIES INC | 61 | |||||
ROYAL CARIBBEAN CRUISES COM STK | 979 | |||||
ROYAL GOLD INC | 234 | |||||
RPM INTL INC | 348 | |||||
RYDER SYS INC COM | 118 | |||||
SABRE CORP COM | 219 | |||||
SANTANDER CONSUMER USA HLDGS INC COM | 103 | |||||
SCHNEIDER NATL INC WIS CL B CL B | 51 | |||||
SEABOARD CORP DEL COM | 47 | |||||
SEALED AIR CORP NEW COM STK | 246 | |||||
SEI INVTS CO COM | 184 | |||||
SEMPRA ENERGY INC COM STK | 1,821 | |||||
SENSATA TECHNOLOGIES B V HOLDING | 206 | |||||
SERVICE CORP INTL COM | 224 | |||||
SERVICE PPTYS TR COM SH BEN INT | 166 | |||||
SERVICEMASTER GLOBAL HLDGS INC COM | 191 | |||||
SIGNATURE BK NY N Y COM | 156 | |||||
SILGAN HLDGS INC COM | 101 | |||||
SINCLAIR BROADCAST GROUP INC CL A | 5 | |||||
SIX FLAGS ENTMT CORP NEW COM | 136 | |||||
SKECHERS U S A INC CL A | 158 | |||||
SKYWORKS SOLUTIONS INC COM | 832 | |||||
SLM CORP COM | 161 | |||||
SMITH A O CORP COM | 232 | |||||
SMUCKER J M CO COM NEW | 483 | |||||
SNAP-ON INC COM | 391 | |||||
SOLARWINDS CORP COM | 25 | |||||
SONOCO PROD CO COM | 262 | |||||
SPECTRUM BRANDS HLDGS INC | 112 | |||||
SPIRIT AEROSYSTEMS HLDGS INC CL A | 31 | |||||
SPROUTS FMRS MKT INC COM | 50 | |||||
SS&C TECHNOLOGIES HLDGS INC COM | 54 | |||||
STANLEY BLACK & DECKER INC COM | 1,068 | |||||
STATE STR CORP COM | 1,224 | |||||
STEEL DYNAMICS INC COM | 296 | |||||
STERICYCLE INC COM | 244 | |||||
STERIS PLC | 514 | |||||
STERLING BANCORP DEL COM | 178 | |||||
SVB FINANCIAL GROUP COMMON STOCK | 515 |
26
Abbott Laboratories Stock Retirement Plan |
SCHEDULE H, LINE 4i - SCHEDULE OF ASSETS (HELD AT END OF YEAR) - Continued |
December 31, 2019 |
(Dollars in thousands) |
Identity of party involved/ | Current | |||||
Description of asset/ Rate/ Maturity | Cost (a) | value | ||||
Common stock - continued | ||||||
SYNCHRONY FINL COM | 722 | |||||
SYNNEX CORP COM STK | 228 | |||||
SYNOVUS FINL CORP COM NEW COM NEW | 215 | |||||
T ROWE PRICE GROUP INC | 842 | |||||
TAKE-TWO INTERACTIVE SOFTWARE INC | 316 | |||||
TAPESTRY INC | 318 | |||||
TARGA RES CORP COM | 400 | |||||
TCF FINL CORP NEW COM | 299 | |||||
TELEDYNE TECHNOLOGIES INC COM | 530 | |||||
TELEPHONE & DATA SYS INC COM STK | 107 | |||||
TEXTRON INC COM | 439 | |||||
TFS FINL CORP COM STK | 42 | |||||
THOR INDS INC COM STK | 165 | |||||
TIFFANY & CO COM | 689 | |||||
TIMKEN CO COM | 158 | |||||
T-MOBILE US INC | 129 | |||||
TOLL BROS INC COM | 218 | |||||
TRANE TECHOLOGY | 79 | |||||
TRANSDIGM GROUP INC COM | 222 | |||||
TRANSOCEAN LTD | 167 | |||||
TREEHOUSE FOODS INC COM | 93 | |||||
TRIMBLE INC COM TRIMBLE INC | 370 | |||||
TRINITY IND INC COM | 93 | |||||
TRIPADVISOR INC | 13 | |||||
TX CAP BANCSHARES INC COM | 119 | |||||
TYSON FOODS INC CL A COM (DELAWARE) | 1,114 | |||||
U.S. CELLULAR CORP COM | 21 | |||||
UGI CORP NEW COM | 402 | |||||
UMPQUA HLDGS CORP COM | 168 | |||||
UNDER ARMOR INC CL A | 58 | |||||
UNDER ARMOUR INC CL C COM | 53 | |||||
UNITED AIRLINES HOLDINGS INC | 678 | |||||
UNITED RENTALS INC COM | 154 | |||||
UNITED STS STL CORP NEW COM | 82 | |||||
UNITED THERAPEUTICS CORP DEL COM STK | 165 | |||||
UNIVAR SOLUTIONS INC | 175 | |||||
UNUM GROUP | 255 | |||||
UNVL HEALTH SERVICES INC CL B COM | 478 | |||||
URBAN OUTFITTERS INC COM | 80 | |||||
US FOODS HLDG CORP COM | 391 | |||||
VAIL RESORTS INC COM | 43 | |||||
VALMONT INDS INC COM | 135 | |||||
VALVOLINE INC COM | 174 | |||||
VERISIGN INC COM | 264 | |||||
VIACOMCBS INC CL A CL A | 5 | |||||
VIACOMCBS INC NPV | 437 | |||||
VIASAT INC COM | 173 | |||||
VIRTU FINL INC CL A CL A | 21 | |||||
VISTRA ENERGY CORP COM | 416 | |||||
VOYA FINL INC COM | 324 | |||||
VULCAN MATERIALS CO COM | 64 | |||||
WABCO HLDGS INC COM STK | 47 | |||||
WABTEC CORP COM | 431 |
27
Abbott Laboratories Stock Retirement Plan |
SCHEDULE H, LINE 4i - SCHEDULE OF ASSETS (HELD AT END OF YEAR) - Continued |
December 31, 2019 |
(Dollars in thousands) |
Identity of party involved/ | Current | |||||
Description of asset/ Rate/ Maturity | Cost (a) | value | ||||
Common stock - continued | ||||||
WATSCO INC COM | 246 | |||||
WEBSTER FNCL CORP WATERBURY CONN COM | 210 | |||||
WEC ENERGY GROUP INC COM | 1,238 | |||||
WESCO INTL INC COM | 106 | |||||
WEST PHARMACEUTICAL SVCS INC COM | 112 | |||||
WESTERN ALLIANCE BANCORPORATION COM | 205 | |||||
WESTERN UNION CO | 372 | |||||
WESTLAKE CHEM CORP COM STK | 103 | |||||
WESTN DIGITAL CORP COM | 805 | |||||
WESTROCK CO COM | 467 | |||||
WHIRLPOOL CORP COM | 390 | |||||
WHITE MOUNTAINS INSURANCE GROUP | 145 | |||||
WILEY JOHN & SONS INC CL A | 88 | |||||
WILLIAMS CO INC COM | 1,225 | |||||
WILLIAMS SONOMA INC COM | 202 | |||||
WILLIS TOWERS WATSON PLC | 1,108 | |||||
WINTRUST FINL CORP COM | 172 | |||||
WOODWARD INC COM | 49 | |||||
WPX ENERGY INC COM SHS | 243 | |||||
WYNDHAM DESTINATIONS INC COM STK | 195 | |||||
WYNDHAM HOTELS & RESORTS INC COM | 177 | |||||
WYNN RESORTS LTD COM | 98 | |||||
XCEL ENERGY INC COM | 1,417 | |||||
XEROX HLDGS CORP COM NEW COM NEW | 281 | |||||
XPO LOGISTICS INC COM | 128 | |||||
YUM CHINA HLDGS INC COM | 140 | |||||
ZILLOW GROUP INC | 108 | |||||
ZILLOW GROUP INC CLASS C | 244 | |||||
ZIMMER BIOMET HLDGS INC COM | 1,307 | |||||
ZIONS BANCORPORATION N A | 370 | |||||
ZYNGA INC | 175 | |||||
Total Common stock | 4,059,697 | |||||
Mutual funds | ||||||
PIMCO ALL ASSET FUND | 96,694 | |||||
REITs | ||||||
AGNC INVT CORP COM | 406 | |||||
ALEXANDRIA REAL ESTATE EQUITIES INC COM | 783 | |||||
AMERICAN CAMPUS CMNTYS INC COM | 274 | |||||
AMERICAN HOMES 4 RENT COMMON STOCK | 166 | |||||
ANNALY CAP MGMT INC COM | 573 | |||||
APARTMENT INVESTMENT & MANAGEMENT | 325 | |||||
APPLE HOSPITALITY REIT INC COM NEW COM NEW | 142 | |||||
AVALONBAY CMNTYS REIT | 1,242 | |||||
BRANDYWINE RLTY TR SH BEN INT NEW REIT | 115 | |||||
BRIXMOR PPTY GROUP INC COM | 274 | |||||
BSTN PPTYS INC | 905 | |||||
CAMDEN PPTY TR SH BEN INT | 421 | |||||
CHIMERA INVT CORP COM NEW COM NEW | 160 | |||||
COLONY CAP INC NEW CL A COM CL A COM | 90 | |||||
COLUMBIA PPTY TR INC COM NEW STK | 102 | |||||
CORESITE RLTY CORP COM CORESITE REALTY CORP | 38 |
28
Abbott Laboratories Stock Retirement Plan |
SCHEDULE H, LINE 4i - SCHEDULE OF ASSETS (HELD AT END OF YEAR) - Continued |
December 31, 2019 |
(Dollars in thousands) |
Identity of party involved/ | Current | |||||
Description of asset/ Rate/ Maturity | Cost (a) | value | ||||
REITs - continued | ||||||
CORP OFFICE PPTYS TR COM | 142 | |||||
COUSINS PPTYS INC | 256 | |||||
CUBESMART | 259 | |||||
CYRUSONE INC COM | 313 | |||||
DIGITAL RLTY TR INC COM | 1,057 | |||||
DOUGLAS EMMETT INC COM REIT | 311 | |||||
DUKE RLTY CORP COM NEW REIT | 540 | |||||
EMPIRE ST RLTY TR INC CL A CL A | 91 | |||||
EPR PPTYS COM SH BEN INT COM SH BEN INT | 234 | |||||
EQTY RESDNTL EFF 5/15/02 | 1,258 | |||||
EQUITY COMMONWEALTH USD0.01( BNF INT) | 171 | |||||
ESSEX PPTY TR REIT | 835 | |||||
EXTRA SPACE STORAGE INC COM | 110 | |||||
FEDERAL RLTY INVT TR SH BEN INT NEW SH BEN INT NEW | 409 | |||||
GAMING & LEISURE PPTYS INC COM | 372 | |||||
HEALTHCARE TR AMER INC CL A NEW CL A NEW | 263 | |||||
HEALTHPEAK PROPERTIES INC | 718 | |||||
HIGHWOODS PPTYS INC COM | 215 | |||||
HOST HOTELS & RESORTS INC REIT | 561 | |||||
HUDSON PACIFIC PROPERTIES INC COM | 245 | |||||
INVITATION HOMES INC COM | 685 | |||||
IRON MTN INC NEW COM | 345 | |||||
JBG SMITH PROPERTIES | 209 | |||||
KILROY RLTY CORP COM | 370 | |||||
KIMCO RLTY CORP COM | 357 | |||||
LIFE STORAGE INC COM | 216 | |||||
MACERICH CO REIT | 164 | |||||
MEDICAL PPTYS TR INC COM REIT | 461 | |||||
MFA FINL INC | 144 | |||||
MID-AMER APT CMNTYS INC COM | 640 | |||||
NATIONAL RETAIL PPTYS INC COM STK | 389 | |||||
NEW RESIDENTIAL INVT CORP COM NEW COM NEW | 285 | |||||
OMEGA HEALTHCARE INVS INC REIT | 392 | |||||
OUTFRONT MEDIA INC COM | 140 | |||||
PARAMOUNT GROUP INC COM | 117 | |||||
PARK HOTELS & RESORTS INC COM | 264 | |||||
PROLOGIS INC | 399 | |||||
RAYONIER INC REIT | 183 | |||||
REALTY INCOME CORP COM | 1,022 | |||||
REGENCY CTRS CORP COM | 447 | |||||
RETAIL PPTYS AMER INC CL A | 119 | |||||
SITE CENTERS CORP | 90 | |||||
SL GREEN RLTY CORP COM STK | 312 | |||||
SPIRIT REALTY CAPITAL INC | 206 | |||||
STARWOOD PROPERTY TRUST INC COM REIT | 289 | |||||
STORE CAPITAL CORPORATION | 340 | |||||
SUN COMMUNITIES INC COM | 439 | |||||
TAUBMAN CTRS INC COM | 76 | |||||
TWO HARBORS INVESMENT CORP | 172 | |||||
UDR INC COM STK | 549 | |||||
VENTAS INC REIT | 913 | |||||
VEREIT INC | 423 | |||||
VICI PPTYS INC COM | 503 |
29
Abbott Laboratories Stock Retirement Plan |
SCHEDULE H, LINE 4i - SCHEDULE OF ASSETS (HELD AT END OF YEAR) - Continued |
December 31, 2019 |
(Dollars in thousands) |
Identity of party involved/ | Current | |||||
Description of asset/ Rate/ Maturity | Cost (a) | value | ||||
REITs - continued | ||||||
VORNADO RLTY TR COM | 490 | |||||
W P CAREY INC COM | 585 | |||||
WEINGARTEN RLTY INVS COM | 160 | |||||
WELLTOWER INC COM REIT | 1,411 | |||||
WEYERHAEUSER CO COM | 956 | |||||
Total REITs | 29,638 | |||||
Collective trust funds | ||||||
BLACKROCK INTERNATIONAL MULTI CAP EQUITY FUND | 84,424 | |||||
CAPITAL GROUP EUROPACIFIC GROWTH TRUST | 380,777 | |||||
CAPITAL GROUP GROWTH FUND OF AMERICA TRUST | 848,622 | |||||
CAPITAL GROUP INVESTMENT COMPANY OF AMERICA TRUST | 294,383 | |||||
CAPITAL GROUP WASHINGTON MUTUAL INVESTORS TRUST | 268,822 | |||||
GW&K SMALL-MID CAP CORE EQUITY FUND | 120,291 | |||||
*NORTHERN TRUST COLLECTIVE WORLD ex-U.S. INDEX FUND | 97,391 | |||||
*NORTHERN TRUST COLLECTIVE ACWI ex-U.S. INDEX FUND | 14,699 | |||||
PIMCO TOTAL RETURN COLLECTIVE TRUST FUND | 241,902 | |||||
SSGA RUSSELL SMALL/MID CAP INDEX FUND CLASS K | 679,542 | |||||
SSGA S&P 500 INDEX FUND CLASS K | 928,370 | |||||
SSGA U.S. BOND INDEX FUND CLASS K | 111,185 | |||||
SSGA TARGET RETIREMENT 2015 | 65,095 | |||||
SSGA TARGET RETIREMENT 2020 | 225,905 | |||||
SSGA TARGET RETIREMENT 2025 | 334,818 | |||||
SSGA TARGET RETIREMENT 2030 | 322,735 | |||||
SSGA TARGET RETIREMENT 2035 | 283,361 | |||||
SSGA TARGET RETIREMENT 2040 | 223,964 | |||||
SSGA TARGET RETIREMENT 2045 | 185,133 | |||||
SSGA TARGET RETIREMENT 2050 | 118,514 | |||||
SSGA TARGET RETIREMENT 2055 | 56,654 | |||||
SSGA TARGET RETIREMENT 2060 | 20,885 | |||||
SSGA TARGET RETIREMENT INCOME | 57,175 | |||||
*NORTHERN TRUST COLLECTIVE SHORT TERM INVESTMENT FUND | 7,985 | |||||
Total Collective trust funds | 5,972,632 | |||||
Futures contracts | ||||||
EQUITY FUTURES OFFSET - LONG | (2,298 | ) | ||||
FUT MAR 20 EMINI S&P 500 | 646 | |||||
FUT MAR 20 IMMEMINI MDCP | 1,652 | |||||
Total Futures contracts | - | |||||
Corporate debt | ||||||
ABBVIE INC FLTG RT 2.346% DUE 11-21-2022 | 1,809 | |||||
ACTAVIS FDG SCS GTD NT FLTG RATE DUE 03-12-2020/02-12-2020 REG | 1,403 | |||||
AERCAP IRELAND CAP 4.5% DUE 05-15-2021 | 2,271 | |||||
AERCAP IRELAND CAP 4.625% DUE 10-30-2020 | 2,479 | |||||
AIR LEASE CORP MED 2.25% DUE 01-15-2023 | 2,202 | |||||
AIRCASTLE LTD 5.125% DUE 03-15-2021 | 2,686 | |||||
AMERN HONDA FIN FLTG RT 2.87288% DUE 06-27-2022 | 1,709 | |||||
ASSURANT INC SR NT DUE 03-26-2021/03-26-2019 REG | 206 | |||||
AT&T INC FLTG RT 02-15-2023 | 1,210 | |||||
AT&T INC FLTG RT 1.96413% DUE 06-12-2024 | 1,017 | |||||
AT&T INC FLTG RT 2.78125% DUE 07-15-2021 | 303 | |||||
AT&T INC NT FLTG DUE 06-01-2021 REG | 1,207 |
30
Abbott Laboratories Stock Retirement Plan |
SCHEDULE H, LINE 4i - SCHEDULE OF ASSETS (HELD AT END OF YEAR) - Continued |
December 31, 2019 |
(Dollars in thousands) |
Identity of party involved/ | Current | |||||
Description of asset/ Rate/ Maturity | Cost (a) | value | ||||
Corporate debt - continued | ||||||
ATHENE GLOBAL FUNDING 144A FRN 07-01-2022 | 5,473 | |||||
AVIATION CAP GROUP 2.875% DUE 01-20-2022 | 209 | |||||
AVIATION CAP GROUP 7.125% DUE 10-15-2020 | 519 | |||||
AVIATION CAP GROUP FLTG RT 2.53038% DUE 06-01-2021 | 1,908 | |||||
B A T CAP CORP 3.36738%08-15-2022 | 6,533 | |||||
BAYER US FIN II LLC GTD NT FLTG RATE 144A DUE 06-25-2021/06-25-2018 BEO | 702 | |||||
BOC AVIATION PTE LTD GLOBAL MEDIUM TERM VAR RT DUE 05-02-2021 | 3,113 | |||||
BRIXMOR OPER PARTNERSHIP LP FLTG 02-01-2022 | 999 | |||||
BROADCOM CORP / 2.375% DUE 01-15-2020 | 2,500 | |||||
CHARTER 3.579% DUE 07-23-2020 | 3,522 | |||||
CHARTER COMMUNICATIONS OPER LLC FRNS 02-01-2024 | 1,029 | |||||
CITIBANK N A FLTG RT 05-20-2022 REG | 4,115 | |||||
CONAGRA BRANDS INC 3.8% 10-22-2021 | 619 | |||||
CVS HEALTH CORP SR NT FLTG RATE DUE 03-09-2020 REG | 100 | |||||
DAIMLER FIN NORTH AMER LLC CORP FLTG 144A 02-15-2022 | 2,015 | |||||
DELL INT LLC / EMC CORP 4.42% 06-15-2021 | 1,029 | |||||
DIAMOND 1 FIN CORP 4.42% DUE 06-15-2021 | 2,882 | |||||
DNB BK ASA MEDIUM VAR RT 2.20038% DUE 12-02-2022 | 502 | |||||
DOMINION ENERGY GAS HLDGS LLC FORMERLY SR NT 2018 SER A FLTG DUE 06-15-2021 | 502 | |||||
DUKE ENERGY CORP NEW SR NT FLTG 03-11-2022 | 1,309 | |||||
DUKE ENERGY CORP NEW SR NT FLTG RATE 144A DUE 05-14-2021 BEO | 2,409 | |||||
EQT CORP SR NT FLTG DUE 10-01-2020 | 1,097 | |||||
EQUIFAX INC SR NT FLTG DUE 08-15-2021 REG | 301 | |||||
EXPORT-IMP BK INDI FRN SNR MTN 08/22 | 2,497 | |||||
FORD MTR CR CO DISC COML PAPER 01-21-2020 | 1,997 | |||||
FORD MTR CR CO LLC VAR RT 2.13413% DUE 09-24-2020 | 3,205 | |||||
GENERAL MTRS CO FLTG RT 1.796% DUE 09-10-2021 | 3,001 | |||||
GOLDMAN SACHS FLTG RT 2.90413% DUE 04-26-2022 | 1,175 | |||||
GOLDMAN SACHS FLTG RT 3.07988% DUE 11-15-2021 | 4,031 | |||||
HARLEY DAVIDSON FLTG RT 2.52038% DUE 03-02-2021 | 1,911 | |||||
HEWLETT PACKARD FLTG RT 2.093% DUE 10-05-2021 | 1,100 | |||||
HSBC HLDGS PLC FLTG RT 1.43413% DUE 09-11-2021 | 3,708 | |||||
HSBC HLDGS PLC SR NT FLTG RATE 05-18-2021 | 2,402 | |||||
ICICI BK HONG KONG 5.75% SNR 16/11/20 USD1000 | 2,052 | |||||
INTL LEASE FIN 8.25% DUE 12-15-2020 | 1,057 | |||||
JPMORGAN CHASE & CO NT FLTG RATE DUE 06-18-2022/06-18-2021 REG | 2,409 | |||||
KRAFT HEINZ FOODS CO GTD SR NT FLTG DUE 08-10-2022 REG | 1,705 | |||||
LAS VEGAS SANDS 3.2% DUE 08-08-2024 | 1,441 | |||||
LLOYDS BKG GROUP PLC NT FLTG RATE DUE 06-21-2021 REG | 2,916 | |||||
MARRIOTT INTL INC NEW NT SER Y FLTG RATEDUE 12-01-2020 REG | 1,003 | |||||
MITSUBISHI UFJ FINL GROUP INC SR NT FLTGDUE 07-26-2023 REG | 2,015 | |||||
MITSUBISHI UFJ FINL GROUP INC SR NT FLTGRATE DUE 07-25-2022 REG | 3,072 | |||||
MIZUHO FINL GROUP INC SR NT FLTG DUE 07-16-2023/07-16-2022 REG | 2,209 | |||||
MIZUHO FINL GROUP INC SR NT FLTG RATE DUE 09-11-2022 REG | 2,521 | |||||
MORGAN STANLEY FLTG 07-22-2022 | 2,726 | |||||
MORGAN STANLEY FLTG RT 2.21011% DUE 01-20-2022 | 2,018 | |||||
MUFG UN BK N A SAN FLTG RT 1.810017% DUE12-09-2022 | 1,065 | |||||
NEXTERA ENERGY CAPITAL HLDGS INC FLTG RT 02-25-2022 | 706 | |||||
NISSAN MOTOR ACCEPTANCE CORP FRN VAR RT DUE 09-28-2020 | 1,500 | |||||
NISSAN MTR ACCEP 2.15% DUE 09-28-2020 | 1,996 | |||||
NT DUE 10-09-2020 REG | 1,903 | |||||
OCCIDENTAL PETE CORP FLTG 08-15-2022 | 7,238 | |||||
PNC BK N A PITT PA FLTG RT 2.726481% DUE07-22-2022 | 2,504 |
31
Abbott Laboratories Stock Retirement Plan |
SCHEDULE H, LINE 4i - SCHEDULE OF ASSETS (HELD AT END OF YEAR) - Continued |
December 31, 2019 |
(Dollars in thousands) |
Identity of party involved/ | Current | |||||
Description of asset/ Rate/ Maturity | Cost (a) | value | ||||
Corporate debt - continued | ||||||
PVTPL ABBVIE INC 2.15% DUE 11-19-2021 BEO | 2,604 | |||||
PVTPL AIA GROUP LTD FLTG 09-20-2021 | 1,300 | |||||
PVTPL APIDOS CLO XVI/APIDOS CLO XVI LLC SER 13-16A CL A1R FRN 01-19-2025 | 17 | |||||
PVTPL AVIATION CAP GROUP 2.875% 01-20-2022 | 504 | |||||
PVTPL BAMLL COML MTG SECS SR 2019-AHT CL A FLTG 03-15-2034 | 701 | |||||
PVTPL BARINGS BDC STATIC CLO LTD FLTG RT SER 19-1A CL A1 04-15-2027 BEO | 3,056 | |||||
PVTPL BLACK DIAMOND CLO 2013-1 LTD/BLACK DIA VAR 144A 02-06-2026 BEO | 795 | |||||
PVTPL BRISTOL MYERS SQUIBB CO FLTG RT 05-16-2022 | 3,010 | |||||
PVTPL BROADCOM INC FIXED 3.125% DUE 04-15-2021 | 1,012 | |||||
PVTPL CENT CLO 19 LTD / CENT CLO 19 CORPSR SECD NT CL A-1A 144A 10-29-2025 | 979 | |||||
PVTPL CMO GOSFORTH FUNDING 2012-1 PLC STEP UP DUE 08-25-2060 BEO | 726 | |||||
PVTPL CMO MF1 2019-FL2 LTD FLTG 12-25-2034 | 4,201 | |||||
PVTPL CMO MOTEL 6 TR 2017-MTL6 COML MTG PASSTHRU CTF CL A FLTG RT 08-15-2034 | 2,741 | |||||
PVTPL CMO THE BANCORP COML MTG TR SER 2019-CRE6 TR CLS A FLTG DUE 09-15-2036 | 994 | |||||
PVTPL CMO WELLS FARGO COML MTG TR SER 2017-HSDB CL A VAR RT 12-13-2023 | 1,495 | |||||
PVTPL CMO WELLS FARGO COMMERCIAL MTG TST SR 2012-C10 CL AFL VAR RT 09-15-2022 | 2,603 | |||||
PVTPL CMO WFRBS COML MTG SER-2014-C21 CL-ASBF FLTG 08-16-2047 BEO | 641 | |||||
PVTPL CROWN PT CLO 6 LTD/CROWN PT CLO 6 LLC SR SECD NT CL A-1 FLTG 144A VAR RT | 1,992 | |||||
PVTPL DAIMLER FIN NORTH AMER LLC NT FLTG RATE 02-22-2022 | 5,038 | |||||
PVTPL GMF FLOORPLAN OWNER REVOLVING SER-2018-3 CL-A1 144A FLTG 09-15-2022 BEO | 4,502 | |||||
PVTPL IMPERIAL TOB FIN PLC 2.95% DUE 07-21-2020 BEO | 1,504 | |||||
PVTPL IMPERIAL TOBBACCO FINANCE 3.75%07-21-2022 | 4,222 | |||||
PVTPL JACKSON NATL LIFE GLOBAL FDG SECD FLTG 06-11-2021 | 5,019 | |||||
PVTPL JAMESTOWN CLO LTD SER 14-4A CL A1BR VAR 07-15-2026 | 718 | |||||
PVTPL KEB HANA BK SR NT FLTG DUE 10-02-2022 BEO | 802 | |||||
PVTPL MACQUARIE BK LTD FLTG DUE 07-29-2020 | 603 | |||||
PVTPL NAVIENT STUDENT LOAN TRUST 19-A CL A1 3.03%01-15-2043 | 738 | |||||
PVTPL NELNET STUDENT LN TR FLTG RT SER 19-2A CL A 06-27-2067 BEO | 3,310 | |||||
PVTPL NISSAN MTR ACCEP CORP FLTG 09-21-2021 BEO | 500 | |||||
PVTPL NISSAN MTR ACCEP CORP NT 2.15% DUE 07-13-2020 BEO | 1,499 | |||||
PVTPL NISSAN MTR ACCEP CORP NT FLTG RATE144A 2.23788% DUE 07-13-2020 BEO | 500 | |||||
PVTPL PALMER SQUARE LN FDG SER 18-2A CL A1 FLTG 07-15-2026 | 2,667 | |||||
PVTPL SOCIAL PROFESSIONAL LOAN PROGRAM LL VAR RT DUE 10-25-2036 BEO | 495 | |||||
PVTPL THL CR WIND RIV SER 12-1A CL AR2 FLTG 01-15-2026 BEO | 2,152 | |||||
PVTPL TRALEE CDO LTD SER 18-5A CL A1 FLTG 10-20-2028 BEO | 3,001 | |||||
PVTPL Z CAP CR PARTNERS CLO SER 15-1A CL A1R FLTGT RT 07-16-2027 | 3,982 | |||||
PVTPLTRALEE CLO III LTD SER 2014-3A CL A-R FLTG 10-20-2027 | 1,999 | |||||
PVTPLVOLKSWAGEN GROUP AMER FIN LLC GTD NT FLTG 11-13-2020 | 2,008 | |||||
QNB FINANCE LTD FRN 31/05/21 | 1,511 | |||||
QNB FINANCE LTD FRN GTD SNR MTN 02/2020 | 2,204 | |||||
ROYAL BANK OF SCOTLAND PLC 5.625 GTD SNRNTS DUE 08-24-2020 | 1,533 | |||||
ROYAL BK SCOTLAND FLTG RT 3.16175% DUE 05-15-2023 | 4,246 | |||||
SANTANDER UK PLC NT FLTG DUE 06-01-2021 REG | 1,952 | |||||
SEMPRA ENERGY NT FLTG RATE DUE 03-15-2021 REG | 1,601 | |||||
SL GREEN OPER FLTG RT 2.67175% DUE 08-16-2021 | 800 | |||||
SOUTHERN PWR CO DUE 12-20-2020/12-20-2019 BEO | 3,101 | |||||
STANDARD CHARTERED PLC NT FLTG 144A DUE 09-10-2022/09-10-2021 BEO | 4,232 | |||||
SUMITOMO MITSUI FINL GRP FLTG RT DUE 10-18-2022 BEO | 4,418 | |||||
SVENSKA HANDELSBANKEN AB PUBL MEDIUM TERTRANCHE # TR 19 VAR RT DUE 05-24-2021 | 602 | |||||
SYNCHRONY BK GLOBAL SR SHORT TERM BK NTS TRANCHE # SR 00002 DUE 03-30-2020 | 600 | |||||
TIME WARNER CABLE 5% DUE 02-01-2020 | 1,002 | |||||
UBS GROUP FDG SWITZ AG NT FLTG 144A DUE 08-15-2023/08-15-2022 BEO | 5,032 | |||||
VERIZON COMMUNICATIONS DUE 05-15-2025 BEO | 3,683 |
32
Abbott Laboratories Stock Retirement Plan |
SCHEDULE H, LINE 4i - SCHEDULE OF ASSETS (HELD AT END OF YEAR) - Continued |
December 31, 2019 |
(Dollars in thousands) |
Identity of party involved/ | Current | |||||
Description of asset/ Rate/ Maturity | Cost (a) | value | ||||
Corporate debt - continued | ||||||
VODAFONE GROUP PLC NEW NT FLTG DUE 01-16-2024 REG | 2,126 | |||||
WELLS FARGO & CO FLTG RT 2.66088% DUE 02-11-2022 | 5,034 | |||||
WESTINGHOUSE AIR STEP CPN 3.4185% DUE 09-15-2021 | 700 | |||||
ZOETIS INC SR NT FLTG 08-20-2021 | 601 | |||||
Total Corporate debt | 250,580 | |||||
Government debt | ||||||
CALIFORNIA ST FLTG RT 04-01-2047 BEO TAXABLE | 2,610 | |||||
FNMA SINGLE FAMILY MORTGAGE 3% 30 YEARS SETTLES FEBRUARY | 9,322 | |||||
FNMA SINGLE FAMILY MORTGAGE 3.5% 30 YEARS SETTLES FEBRUARY | 10,591 | |||||
FNMA SINGLE FAMILY MORTGAGE 4% 30 YEARS SETTLES FEBRUARY | 41,100 | |||||
FNMA SINGLE FAMILY MORTGAGE 4% 30 YEARS SETTLES MARCH | 12,379 | |||||
GNMA 2016-H17 MTG PASS THRU CTF CL MX FC08-20-2066 | 865 | |||||
GNMA 2016-H20 REMIC PASSTHRU CTF CL MX-PT 09-20-2066 | 1,883 | |||||
GNMA REMIC PASSTHRU SER 2016-H11 CLS F 05-20-2066 | 166 | |||||
UNITED STATES OF AMER INFL INDXD TREAS NOTES 0.25% TB 01-15-25 USD1000 A-2025 | 4,604 | |||||
UNITED STATES OF AMER TREAS NOTES INFL IDX T-BOND .875% 01-15-2029 | 8,009 | |||||
UNITED STATES TREAS INFL NTS 0.375%DTD 07/15/2015 07-15-2025 | 10,630 | |||||
UNITED STATES TREAS INFL INDEXED NTS .125%01-15-2023 | 14,158 | |||||
UNITED STATES TREAS INFL INDEXED NTS 0.75%07-15-2028 | 9,599 | |||||
UNITED STATES TREAS NTS 0.5% 04-15-2024 | 518 | |||||
UNITED STATES TREAS NTS DTD 07/31/2019 1.75% DUE 07-31-2021 REG | 36,488 | |||||
UNITED STATES TREAS NTS INFL IDX DTD 0.625%01-15-2026 | 3,125 | |||||
UNITED STATES TREAS 1.5% DUE 09-30-2021 | 49,125 | |||||
UNITED STATES TREAS 1.5% DUE 10-31-2024 | 84,392 | |||||
WI TREASURY 0% T-BILL 01-09-2020 | 125 | |||||
Total Government debt | 299,689 | |||||
Certificate of deposit | ||||||
LLOYDS BK CORP MKTS PLC NY BRH INST INSTL CTF DEP 00005 DTD 10-09-2018 | 2,004 | |||||
LLOYDS BK CORP MKTS PLC NY BRH INST FLTGRT 09-24-2018 DUE 9-24-2020 | 1,102 | |||||
Total Certificate of deposit | 3,106 | |||||
Private 40-Act mutual funds | ||||||
PIMCO Short-Term Floating NAV Portfolio II | 187,451 | |||||
PIMCO Short-Term Portfolio | 50,637 | |||||
Total Private 40-Act mutual funds | 238,088 | |||||
*Loans to participants, 3.00% to 9.25% | 89,236 | |||||
$ | 11,039,360 |
*Represents a party-in-interest transaction.
(a) Cost information omitted as all investments are fully participant directed.
33
FINANCIAL STATEMENTS AND
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
ABBOTT LABORATORIES STOCK RETIREMENT PLAN
(PUERTO RICO)
DECEMBER 31, 2019 and 2018
C O N T E N T S
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
Plan Administrator and Plan Participants
Abbott Laboratories Stock Retirement Plan (Puerto Rico)
Opinion on the financial statements
We have audited the accompanying statements of net assets available for benefits of Abbott Laboratories Stock Retirement Plan (Puerto Rico) (the “Plan”) as of December 31, 2019 and 2018, the related statement of changes in net assets available for benefits for the year ended December 31, 2019, and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the net assets available for benefits of the Plan as of December 31, 2019 and 2018, and the changes in net assets available for benefits for the year ended December 31, 2019 in conformity with accounting principles generally accepted in the United States of America.
Basis for opinion
These financial statements are the responsibility of the Plan’s management. Our responsibility is to express an opinion on the Plan’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Plan in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.
We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Plan is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Plan’s internal control over financial reporting. Accordingly, we express no such opinion.
Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.
3
Supplemental information
The schedule of assets (held at end of year) as of December 31, 2019 (“supplemental information”) has been subjected to audit procedures performed in conjunction with the audit of the Plan’s financial statements. The supplemental information is the responsibility of the Plan’s management. Our audit procedures included determining whether the supplemental information reconciles to the financial statements or the underlying accounting and other records, as applicable, and performing procedures to test the completeness and accuracy of the information presented in the supplemental information. In forming our opinion on the supplemental information, we evaluated whether the supplemental information, including its form and content, is presented in conformity with the Department of Labor’s Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974. In our opinion, the supplemental information is fairly stated, in all material respects, in relation to the financial statements as a whole.
/s/ Grant Thornton LLP
We have served as the Plan’s auditor since 2014.
Chicago, Illinois
June 26, 2020
4
Abbott Laboratories Stock Retirement Plan (Puerto Rico)
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS
December 31, 2019 and 2018
(Dollars in thousands)
2019 | 2018 | |||||||
Assets | ||||||||
Cash | $ | 19 | $ | 118 | ||||
Investments, at fair value | 168,599 | 147,233 | ||||||
Notes receivable from participants | 4,458 | 3,920 | ||||||
Due from brokers | 151 | - | ||||||
Accrued interest income | 17 | 20 | ||||||
Total assets | 173,244 | 151,291 | ||||||
Liabilities | ||||||||
Accrued investment expenses | 3 | 2 | ||||||
Due to brokers | 60 | 56 | ||||||
Total liabilities | 63 | 58 | ||||||
NET ASSETS AVAILABLE FOR BENEFITS | $ | 173,181 | $ | 151,233 |
5
Abbott Laboratories Stock Retirement Plan (Puerto Rico)
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
Year ended December 31, 2019
(Dollars in thousands)
Additions | ||||
Contributions | ||||
Employer | $ | 2,140 | ||
Participant | 4,267 | |||
Rollovers | 12 | |||
Total contributions | 6,419 | |||
Investment income | ||||
Net appreciation in fair value of investments | 23,660 | |||
Interest and dividends | 2,316 | |||
Net investment income | 25,976 | |||
Interest income on notes receivable from participants | 181 | |||
Total additions | 32,576 | |||
Deductions | ||||
Benefits paid to participants | 10,590 | |||
Other expenses | 38 | |||
Total deductions | 10,628 | |||
NET INCREASE | 21,948 | |||
Net assets available for benefits | ||||
Beginning of year | 151,233 | |||
End of year | $ | 173,181 |
6
Abbott Laboratories Stock Retirement Plan (Puerto Rico)
December 31, 2019 and 2018
NOTE A - DESCRIPTION OF THE PLAN
The following description of the Abbott Laboratories Stock Retirement Plan (Puerto Rico) (the “Plan”) provides only general information. Participants should refer to the Plan document for a more complete description of the Plan’s provisions.
General
The Plan was established January 1, 2013 in conjunction with Abbott Laboratories (“Abbott”) separating into two publicly traded companies – Abbott and AbbVie Inc. (“AbbVie”). The Plan covers employees of Abbott’s selected subsidiaries and affiliates in Puerto Rico (the “Company”). The employees of the Company had previously participated in the former Abbott Laboratories Stock Retirement Plan (Puerto Rico), which, effective January 1, 2013 was renamed AbbVie Puerto Rico Savings Plan (the “Former Plan”) and sponsorship was assumed by an affiliate of AbbVie.
The Plan is a profit-sharing plan containing a cash or deferred arrangement intended to qualify for favorable tax treatment under sections 1081.01 (a) and (d) of the Puerto Rico Internal Revenue Code of 2011, as amended. In addition, the Plan provides an arrangement by which employees may invest in Abbott shares. Employees of the Company may, after meeting certain employment requirements, voluntarily participate in the Plan. Beginning March 2017, newly hired employees in certain specified Abbott divisions and business units became eligible to participate in the Plan under a different structure (“Abbott Green” employees).
The Plan’s sponsor is Abbott Healthcare (Puerto Rico) Ltd. Alight Solutions serves as the record keeper of the Plan. The Northern Trust Company (“Custodian”) and Banco Popular de Puerto Rico (“Trustee”) serve as the Plan’s custodian and trustee, respectively. The Plan is subject to the Employee Retirement Income Security Act of 1974, as amended (“ERISA”).
Contributions and Vesting
Contributions to the Plan are paid to a trust administered by the Trustee. An investment committee (the “Committee”) may direct the Trustee to establish investment options of the Committee’s choosing.
Employees are eligible to commence participation in the Plan on any entry date following their date of hire. Eligible employees electing to participate may contribute from 2% (or 1%, for Abbott Green participants) to 25% of their eligible earnings, subject to certain limitations. Participants may choose to make their contributions from either pretax earnings or after-tax earnings, or both. Participants who have attained age 50 before the end of the Plan year and who are making the maximum pretax contribution are eligible to make catch-up contributions. Participants may elect to invest their contributions in any or all of the investment options, except for investment options closed to new contributions.
7
Abbott Laboratories Stock Retirement Plan (Puerto Rico)
NOTES TO FINANCIAL STATEMENTS - CONTINUED
December 31, 2019 and 2018
NOTE A - DESCRIPTION OF THE PLAN - Continued
Contributions and Vesting - Continued
Employer matching contributions to the Plan are made each payroll period based on the participating employees’ eligible earnings. Excluding the Abbott Green participants, the employer contribution for the year ended December 31, 2019 was 5% of the participant’s eligible earnings if the participant elected to contribute at least 2% of eligible earnings to the Plan. Effective with the first pay period ending after March 1, 2017, employer matching contributions for Abbott Green participants are made at the rate of 100% up to a 3% deferral of eligible earnings. Employer contributions are invested each pay period according to the participant’s investment elections.
In connection with the January 1, 2013 separation of Abbott into two publicly traded companies, Abbott shareholders received as a tax-free distribution one share of AbbVie stock for every share of Abbott held as of the close of business on December 12, 2012, the record date for the distribution. Plan participants may continue to hold the AbbVie stock they received from the distribution that transferred from the Former Plan into their Plan accounts; however, they may not make new contributions or transfer existing contributions or earnings to purchase AbbVie stock in the Plan. AbbVie dividends are invested in the Plan’s default investment option.
Participants may direct the Trustee to sell all or a portion of the Abbott and AbbVie common shares held in their accounts and reinvest the proceeds in any of the other investment options available to the participants.
Participants are at all times fully vested in their own contributions and earnings thereon. Vesting in employer contributions and earnings thereon is based on the following vesting schedule:
Vesting | ||||
Service | percentage | |||
Less than two years | 0 | % | ||
Two years or more | 100 | % |
For employees who became Abbott Green participants prior to January 1, 2018, matching contributions vest 20% after one year of service and 100% after two years of service. Abbott Green participants are also fully vested in matching contributions upon death or qualifying disability.
Non-vested portions of employer contributions and earnings thereon are forfeited as of an employee’s termination date. Forfeitures are used to (1) restore any forfeitures of participants who returned to service with the Company within a given period of time, (2) pay Plan expenses and (3) reduce future employer contributions if terminated participants do not return to service within the given period of time. In 2019, approximately $6,900 of forfeitures were used to reduce employer contributions. Forfeitures totaling approximately $117,000 and $113,000 were available at the end of 2019 and 2018, respectively.
8
Abbott Laboratories Stock Retirement Plan (Puerto Rico)
NOTES TO FINANCIAL STATEMENTS - CONTINUED
December 31, 2019 and 2018
NOTE A - DESCRIPTION OF THE PLAN - Continued
Distributions and In-Service Withdrawals
Following retirement, termination or death, participants or their beneficiaries may elect to receive a distribution in installments, a single lump sum or a partial lump sum. Participants may elect a direct rollover of their accounts. Distribution must be made by the 1st of April following the year the participant reaches age 70 ½ or, if earlier, the 31st of December following the year in which the participant dies. Interest, dividends and other earnings will continue to accrue on such deferred amounts.
Prior to termination, participants are permitted to withdraw their after-tax contributions (after-tax contributions made on or after January 8, 2016 may be withdrawn from the Plan only after being held for two or more years) and rollover contributions (including merged-in plan rollover accounts) and, after age 59 ½, may also withdraw pretax contributions. Distributions are made in cash or, to the extent contained in the participant’s account, a participant may elect distribution of Abbott and AbbVie common shares, and in each case, are subject to certain limitations.
Notes Receivable from Participants
Participants may convert their vested account balances into one or two loans to themselves. The borrowing may not exceed the lesser of the current market value of the assets allocated to their vested accounts or 50% of all of their Plan accounts up to $50,000, subject to Puerto Rico Internal Revenue Code limitations and restrictions. Participants pay interest on such borrowings at the prime rate in effect at the time the participant loan is made. Loans must be repaid within five years (or by the employee’s anticipated retirement date, if sooner) unless the loan is used for the purchase of the primary residence of the employee, in which case the repayment period can be extended to a period of fifteen years (or until the employee’s anticipated retirement date, if sooner). Repayment is generally made through periodic payroll deductions or by sending in a payment, but a loan may be repaid in a lump sum at any time. Post-termination loan repayments are permitted. For employees whose account is distributed during the repayment period, the balance of the outstanding loan is netted from their Plan distribution.
NOTE B - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of Accounting
The financial statements have been prepared using the accrual basis of accounting.
9
Abbott Laboratories Stock Retirement Plan (Puerto Rico)
NOTES TO FINANCIAL STATEMENTS - CONTINUED
December 31, 2019 and 2018
NOTE B - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Continued
Use of Estimates
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and changes therein, and disclosure of contingent assets and liabilities. Actual results may differ from those estimates.
Investment Valuation
The Plan uses the following methods and significant assumptions to estimate the fair value of investments:
Common stock and mutual funds - Valued at the published market price per share or unit multiplied by the number of shares or units held.
Collective trust funds - Valued at the net asset value (“NAV”) provided by the administrator of the fund. The NAV is used as a practical expedient to estimate fair value. The NAV is based on the value of the underlying assets owned by the fund, minus its liabilities, and then divided by the number of shares outstanding. Participants are permitted to make redemptions from the funds on a daily basis. Certain funds require five days’ notice for a Plan level redemption.
The following tables summarize the basis used to measure investments at fair value at December 31, 2019 and 2018 (dollars in thousands):
Basis of Fair Value Measurement | ||||||||||||||||||||
2019 | Quoted Prices in Active Markets | Significant Other Observable Inputs | Significant Unobservable Inputs | Measured at NAV | Total | |||||||||||||||
Common stock | $ | 78,489 | $ | - | $ | - | $ | - | $ | 78,489 | ||||||||||
Mutual funds | 13,728 | - | - | - | 13,728 | |||||||||||||||
Collective trust funds | - | - | - | 76,382 | 76,382 | |||||||||||||||
Total investments at fair value | $ | 92,217 | $ | - | $ | - | $ | 76,382 | $ | 168,599 |
10
Abbott Laboratories Stock Retirement Plan (Puerto Rico)
NOTES TO FINANCIAL STATEMENTS - CONTINUED
December 31, 2019 and 2018
NOTE B - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Continued
Investment Valuation - Continued
Basis of Fair Value Measurement | ||||||||||||||||||||
2018 | Quoted Prices in Active Markets | Significant Other Observable Inputs | Significant Unobservable Inputs | Measured at NAV | Total | |||||||||||||||
Common stock | $ | 72,878 | $ | - | $ | - | $ | - | $ | 72,878 | ||||||||||
Mutual funds | 33,653 | - | - | - | 33,653 | |||||||||||||||
Collective trust funds | - | - | - | 40,702 | 40,702 | |||||||||||||||
Total investments at fair value | $ | 106,531 | $ | - | $ | - | $ | 40,702 | $ | 147,233 |
Notes Receivable from Participants
Notes receivable from participants are measured at their unpaid balance plus any accrued but unpaid interest. Delinquent loans are reclassified as distributions based upon the terms of the Plan. No allowance for credit losses has been recorded as of December 31, 2019 or 2018.
Income Recognition
Purchases and sales of securities are recorded on a trade-date basis. Interest income is recorded on the accrual basis. Dividends are recorded on the ex-dividend date. Net realized and unrealized appreciation/depreciation is recorded in the accompanying statement of changes in net assets available for benefits as net appreciation in fair value of investments.
Administrative Expenses
Participants are charged transaction fees for loan processing and commissions on purchases and sales of Abbott shares and sales of AbbVie shares. Investment fees for mutual funds and collective trusts are charged against the net assets of the respective fund. The Company pays other record-keeping and administration fees, where applicable.
Payment of Benefits
Benefits are recorded when paid.
11
Abbott Laboratories Stock Retirement Plan (Puerto Rico)
NOTES TO FINANCIAL STATEMENTS - CONTINUED
December 31, 2019 and 2018
NOTE C - INVESTMENTS
Distributions of Abbott common shares and conversions of participants’ common share account balances to participant loans or other investment options are recorded at fair market value.
A summary of Abbott common share data as of December 31, 2019 and 2018 is presented below:
2019 | 2018 | |||||||
Abbott common shares, 631,512 and 654,515 shares, respectively (dollars in thousands) | $ | 54,853 | $ | 47,341 | ||||
Market value per share | $ | 86.86 | $ | 72.33 |
In general, the investments provided by the Plan are exposed to various risks, such as interest rate, credit and overall market volatility risks. Due to the level of risk associated with certain investment securities, it is reasonably possible that changes in the values of investment securities will occur in the near term and that such changes could materially affect participant accounts and the amounts reported in the statements of net assets available for benefits.
NOTE D - RELATED-PARTY AND PARTY-IN-INTEREST TRANSACTIONS
The Plan holds units of collective trust funds managed by the Trustee. A significant portion of the Plan’s assets is invested in Abbott common shares. These transactions qualify as party-in-interest transactions; however, they are exempt from the prohibited transaction rules under ERISA. During 2019, the Plan received $820,000 in common stock dividends from Abbott.
Participants pay fees to the recordkeeper for loan transaction processing and for commissions on purchases and sales of Abbott shares and sales of AbbVie stock. These transactions qualify as permitted party-in-interest transactions.
NOTE E - PLAN TERMINATION
The Plan may be terminated at any time by Abbott upon written notice to the Trustee and Committee. All participants’ account balances would become fully vested upon Plan termination. Upon termination of the Plan, distributions of each participant’s share in the trust, as determined by the terms of the Plan, would be made to each participant. At the present time, Abbott has no intention of terminating the Plan.
12
Abbott Laboratories Stock Retirement Plan (Puerto Rico)
NOTES TO FINANCIAL STATEMENTS - CONTINUED
December 31, 2019 and 2018
NOTE F - TAX STATUS
The Plan received letters dated April 19, 2016 and December 2, 2019 from the Department of the Treasury of the Commonwealth of Puerto Rico that the Plan, as written, qualifies under Section 1081.01(a) of the Puerto Rico Internal Revenue Code of 2011, as amended and, consequently, its enabling trust is exempt from local income tax. The Plan has been amended since receiving the letters. The Plan administrator believes that the Plan is designed and is currently being operated, in all material respects, in accordance with the applicable Puerto Rico Internal Revenue Code.
Accounting principles generally accepted in the United States of America require Plan management to evaluate tax positions taken by the Plan and recognize a tax liability if the organization has taken an uncertain position that more likely than not would not be sustained upon examination by the applicable taxing authorities. The Plan administrator has analyzed the tax positions taken by the Plan, and has concluded that as of December 31, 2019 and 2018, there are no uncertain positions taken or expected to be taken that would require recognition of a liability or disclosure in the financial statements. The Plan is subject to routine audits by taxing jurisdictions; however, there are currently no audits in progress.
NOTE G - SUBSQUENT EVENTS
Management of the Plan has evaluated subsequent events from December 31, 2019 through the date these financial statements were issued. In March 2020, the World Health Organization declared the outbreak of a novel coronavirus (COVID-19) as a pandemic. The spread of COVID-19 has caused significant volatility in U.S. and international markets. There is significant uncertainty around the breadth and duration of business disruptions related to COVID-19, as well as its impact on the U.S. and international economies. Management of the Plan is not aware of any other subsequent events that require recognition or additional disclosure in these financial statements.
13
Abbott Laboratories Stock Retirement Plan (Puerto Rico)
SCHEDULE H, LINE 4i - SCHEDULE OF ASSETS (HELD AT END OF YEAR)
December 31, 2019
(Dollars in thousands)
Identity of party involved/ | Current | ||||
description of asset | Cost (a) | value | |||
Common stock - employer securities | |||||
*Abbott Laboratories, common shares | $ | 54,853 | |||
Common stock | |||||
AbbVie Inc., common stock | 23,636 | ||||
Total Common stock | 78,489 | ||||
Mutual funds | |||||
PIMCO All Asset Fund | 2,045 | ||||
PIMCO Short Asset Investment Fund | 9,008 | ||||
Vanguard Mid-Cap Value Index Fund Admiral | 2,675 | ||||
Total Mutual funds | 13,728 | ||||
Collective trust funds | |||||
Blackrock International Opportunities Fund | 1,482 | ||||
Capital Group EuroPacific Growth Trust | 5,159 | ||||
Capital Group The Growth Fund of America Trust | 12,203 | ||||
Capital Group The Investment Company of America Trust | 4,909 | ||||
Capital Group Washington Mutual Investors Trust | 2,791 | ||||
GW&K Small-Mid Cap Core Equity Fund | 2,775 | ||||
*Northern Trust Collective World ex-U.S. Index Fund | 565 | ||||
*Northern Trust Collective ACWI ex-U.S. Index Fund | 76 | ||||
PIMCO Total Return Collective Trust Fund | 2,062 | ||||
SSGA Russell Small/Mid Cap Index Fund | 3,095 | ||||
SSGA S&P 500 Index Fund | 6,672 | ||||
SSGA U.S. Bond Index Fund | 822 | ||||
SSGA Target Retirement 2015 | 3,163 | ||||
SSGA Target Retirement 2020 | 5,211 | ||||
SSGA Target Retirement 2025 | 6,336 | ||||
SSGA Target Retirement 2030 | 5,099 | ||||
SSGA Target Retirement 2035 | 3,806 | ||||
SSGA Target Retirement 2040 | 4,094 | ||||
SSGA Target Retirement 2045 | 2,471 | ||||
SSGA Target Retirement 2050 | 1,543 | ||||
SSGA Target Retirement 2055 | 730 | ||||
SSGA Target Retirement 2060 | 123 | ||||
SSGA Target Retirement Income | 950 | ||||
*Northern Trust Collective Short Term Investment Fund | 245 | ||||
Total Collective trust funds | 76,382 | ||||
*Loans to participants, 3.25% to 5.50% | 4,458 | ||||
$ | 173,057 |
*Represents a party-in-interest transaction.
(a) Cost information omitted as all investments are fully participant directed.
15
EXHIBIT INDEX
SIGNATURE
The Plan. Pursuant to the requirements of the Securities Exchange Act of 1934, the trustees (or other persons who administer the employee benefit plan) have duly caused this annual report to be signed on its behalf by the undersigned hereunto duly authorized.
ABBOTT LABORATORIES STOCK RETIREMENT PROGRAM
Date: June 26, 2020 | By: | /s/ Marlon Sullivan |
Marlon Sullivan | ||
Plan Administrator |
Exhibit 23.1
CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
We have issued our report dated June 26, 2020, with respect to the financial statements and supplemental information included in the Annual Report of Abbott Laboratories Stock Retirement Plan on Form 11-K for the year ended December 31, 2019. We consent to the incorporation by reference of said report in Abbott Laboratories’ previously filed S-8 Registration Statements for the Abbott Laboratories Stock Retirement Program as follows:
File No. | Effective Date | |
33-26685 | January 23, 1989 | |
33-504522 | August 4, 1992 | |
33-51585 | December 20, 1993 | |
33-56897 | December 16, 1994 | |
33-65127 | December 18, 1995 | |
333-19511 | January 10, 1997 | |
333-43383 | December 29, 1997 | |
333-69579 | December 23, 1998 | |
333-93257 | December 21, 1999 | |
333-74224 | November 30, 2001 | |
333-102180 | December 23, 2002 | |
333-109253 | September 29, 2003 | |
333-124849 | May 12, 2005 | |
333-141116 | March 7, 2007 | |
333-153198 | August 26, 2008 | |
333-169888 | October 12, 2010 | |
333-204772 | June 5, 2015 | |
333-227802 | October 12, 2018 |
/s/ Grant Thornton LLP
Chicago, Illinois
June 26, 2020
Exhibit 23.2
CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
We have issued our report dated June 26, 2020, with respect to the financial statements and supplemental information included in the Annual Report of Abbott Laboratories Stock Retirement Plan (Puerto Rico) on Form 11-K for the year ended December 31, 2019. We consent to the incorporation by reference of said report in Abbott Laboratories’ previously filed S-8 Registration Statements for the Abbott Laboratories Stock Retirement Program as follows:
File No. | Effective Date | |
33-26685 | January 23, 1989 | |
33-504522 | August 4, 1992 | |
33-51585 | December 20, 1993 | |
33-56897 | December 16, 1994 | |
33-65127 | December 18, 1995 | |
333-19511 | January 10, 1997 | |
333-43383 | December 29, 1997 | |
333-69579 | December 23, 1998 | |
333-93257 | December 21, 1999 | |
333-74224 | November 30, 2001 | |
333-102180 | December 23, 2002 | |
333-109253 | September 29, 2003 | |
333-124849 | May 12, 2005 | |
333-141116 | March 7, 2007 | |
333-153198 | August 26, 2008 | |
333-169888 | October 12, 2010 | |
333-204772 | June 5, 2015 | |
333-227802 | October 12, 2018 |
/s/ Grant Thornton LLP
Chicago, Illinois
June 26, 2020