Abbott Laboratories AMO Acquisition Essay Example

Abbott Laboratories AMO Acquisition Paper Abbott Laboratories, based in Chicago, Illinois, is a global pharmaceuticals and health care conglomerate. They were originally known for developing the first ever HIV blood screening test in 1985. Created in 1888 by Dr. Wallace Calvin Abbott, the company has grown to a $35 billion revenue BioPharma powerhouse. One of their go-to growth moves is acquisition. These acquisitions have added to their portfolio such brand names as Ensure, EAS and Similac just to name a few. In 2009, they continued this trend and broke into the vision care market by acquiring Advance Medical Optics Corporation for $1. 4 billion on February 26, 2009. According to Abbotts 2009 10-K filed with the SEC, Abbott acquired AMO to take advantage of increasing demand for vision care technologies due to population growth and demographic shifts and AMOs premier position in its field. ? (SEC, 2010, p. 36) 1) As it was 2009, Abbott used the acquisition method of accounting for business combinations. As stated in Note 11 of their 10-k, On January 1, 2009, Abbott adopted the provisions of SFAS No. 141 (revised 2007), Business Combinations, as codified in FASB ASC No. 805, Business Combinations. Under ASC No. 805 ? We will write a custom essay sample on Abbott Laboratories AMO Acquisition specifically for you for only $16.38 $13.9/page Order now We will write a custom essay sample on Abbott Laboratories AMO Acquisition specifically for you FOR ONLY $16.38 $13.9/page Hire Writer We will write a custom essay sample on Abbott Laboratories AMO Acquisition specifically for you FOR ONLY $16.38 $13.9/page Hire Writer (SEC, 2010). According to the revised statement, the acquirer is required to now recognize contingent liabilities at fair value, to expense direct combination costs and to now recognize in-progress RD as an asset until it is discontinued or approved by the acquiring company. (FASB, 2007) The original FASB 141 posited that contingent liabilities can just be ignored, direct combination costs adjusted goodwill as part of the consideration paid, and IPRD was immediately expensed. As will be mentioned in subsequent answers, they consistently used the tactics put forth by the revised FASB statement. 2) The calculation for goodwill along with the allocations for the fair valued assets acquired were: I. Acquired intangible assets, including established customer relationships, developed technology and trade names were valued at $900 million II. Acquired in-process research and development was valued at $200 million III. Acquired net tangible assets, including trade accounts receivable, inventory, property and equipment and other assets were valued at $400 million. The net tangible assets figure is net of assumed liabilities including trade accounts payable, accrued compensation and other liabilities IV. Total assets were therefore $1. 5 billion V. Acquired debt was valued at $1. 5 billion VI. There was a deferred income tax of $300 million VII. Total liabilities (other than those offset within net tangible assets) is $1. 8 billion VIII. Net identifiable assets = $1. 5 billion $1. 8 billion = ($300 million) IX. Consideration paid = $1. 4 billion X. $1. 4 billion â€Å" ($300 million) = 1. 7 billion XI. Goodwill is recognized at $1. 7 billion (SEC, 2010, p. 36) 3) So as to keep with the rules set forth in the provisions of SFAS No. 141 Business Combination ? (FASB, 2007), Abbott did the following. In their 2009 Annual Report issued to their shareholders, Abbott stated, ? The preliminary allocation of the fair value of the acquisition resulted in non-deductible acquired in-process research and development of approximately $195 million which will be accounted for as an indefinite-lived intangible asset until regulatory approval or discontinuation. ? (Abbott Laboratories, 2010) This is consistent with the acquisition method. 4) Acquisition-related costs are costs that Abbott incurred during the business combination with Advanced Medical Optics. Abbott incurred approximately $89 million of acquisition-related expenses in 2009 which are classified as Selling, general and administrative expense. ? (Abbott Laboratories, 2010). This is also consistent with the acquisition method as direct combination costs are expensed as they are incurred rather than being added to the parents consideration given when purchasing the subsidiary. 5) Before the acquisition Abbott had small investments in AMO and was clearly satisfied with those investments. Abbott acquired AMO to take advantage of their vision care technology. Over the years there had been an increase in the demand for vision care innovation. AMO rose to the occasion and grew to be considered a leader in the vision care sector. AMO is a worldwide specialist in the development, manufacturing and marketing of its products. These traits made AMO attractive and its acquisition would give Abbott the upper hand over its competitors. The acquisition of AMO allowed Abbott to become a leader in vision care products, and furthered its strategy of diversification that made it one of the best performing healthcare companies during the recession. (Pierson Krauskopf, 2009) Bibliography : Abbott Laboratories. (2010, February 19). 2009 Annual Report. Retrieved from media. corporate-ir. net: http://media. corporate-ir. net/media_files/irol/94/94004/Proxy_Page/AR2009. pdf FASB. (2007, December). FASB 141(R). Retrieved from FASB. org: http://www. fasb. org/cs/BlobServer? blobkey=idblobnocache=trueblobwhere=1175820919432blobheader=application/pdfblobcol=urldatablobtable=MungoBlobs Pierson, R. , Krauskopf, L. (2009, January 12). Abbott enters eye arena with $1. 4 billion AMO deal. Reuters. SEC. (2010, February 19). Abbott Laboratories 2009 10-K. Retrieved from SEC. gov: http://www. sec. gov/cgi-bin/viewer? action=viewcik=1800accession_number=0001047469-10-001018xbrl_type=v#

Bushido, The Samurai Code

Bushido, The Samurai Code Bushido was the code of conduct for Japans warrior classes from perhaps as early as the 8th century through modern times. The word bushido comes from the Japanese roots bushi  meaning warrior, and do meaning path or way. Literally, then, it can be translated as the way of the warrior.   Bushido was followed by Japans samurai warriors and their precursors in feudal Japan, as well as much of central  and east Asia. The principles of bushido emphasized honor, courage, skill in the martial arts, and loyalty to a warriors master (daimyo) above all else. It is somewhat similar to the ideas of chivalry that knights followed in feudal Europe. There is just as much folklore that exemplifies bushido- such as the 47  Ronin  of Japanese legend- as there is European folklore about knights.   What is Bushido? A more elaborated list of the virtues encoded in bushido includes frugality, righteousness, courage, benevolence, respect, sincerity, honor, loyalty, and self-control. The specific strictures of bushido varied, however, over time and from place to place within Japan.   Bushido was an ethical system, rather than a religious belief system. In fact, many samurais believed that they were excluded from any reward in the afterlife or in their next lives, according to the rules of Buddhism, because they were trained to fight and kill in this life. Nevertheless, their honor and loyalty had to sustain them, in the face of the knowledge that they would likely end up in the Buddhist version of hell after they died. The ideal samurai warrior was supposed to be immune from the fear of death. Only the fear of dishonor and loyalty to his daimyo motivated the true samurai.  If a samurai felt that he had lost his honor (or was about to lose it) according to the rules of bushido, he could regain his standing by committing a rather painful form of ritual suicide, called seppuku. A public ritual suicide or seppuku.. ivan-96 / Getty Images While European feudal religious codes of conduct forbade suicide, in feudal Japan it was the ultimate act of bravery. A samurai who committed seppuku would not only regain his honor, he would actually gain prestige for his courage in facing death calmly. This became a cultural touchstone in Japan, so much so that women and children of the samurai class were also expected to face death calmly if they were caught up in a battle or siege. Samurai recruits training for the Satsuma Rebellion. Three Lions / Hulton Archive / Getty Images History of Bushido How did this rather extraordinary system arise?  As early as the 8th century, military men were writing books about the use and the perfection of the sword. They also created the ideal of the warrior-poet, who was brave, well-educated, and loyal. In the middle period between the 13th to 16th centuries, Japanese literature celebrated reckless courage, extreme devotion to ones family and to ones lord, and cultivation of the intellect for warriors. Most of the works that dealt with what would later be called bushido concerned the great civil war known as the Genpei War  from 1180 to 1185, which pitted the Minamoto and Taira clans against one another and led to the foundation of the Kamakura Period of shogunate rule. The final phase of the development of bushido was the Tokugawa era, from 1600 to 1868. This was a time of introspection and theoretical development for the samurai warrior class because the country had been basically peaceful for centuries. The samurai practiced martial arts and studied the great war literature of earlier periods, but they had little opportunity to put the theory into practice until the Boshin War  of 1868 to 1869 and the later  Meiji Restoration. As with earlier periods, Tokugawa samurai looked to a previous, bloodier era in Japanese history for inspiration- in this case, more than a century of constant warfare among the daimyo clans. Modern Bushido After the samurai ruling class was abolished in the wake of the Meiji Restoration, Japan created a modern conscript army. One might think that bushido would fade away along with the samurai who had invented it. In fact, Japanese nationalists and war leaders continued to appeal to this cultural ideal throughout the early 20th century and World War II. Echoes of seppuku were strong in the suicide charges that Japanese troops made on various Pacific Islands, as well as in the kamikaze pilots who drove their aircraft into Allied battleships and bombed Hawaii to start off Americas involvement in the war. Today, bushido continues to resonate in modern Japanese culture.  Its stress on courage, self-denial, and loyalty has proved particularly useful for corporations seeking to get the maximum amount of work out of their salarymen.

1111857 Essay Example | Topics and Well Written Essays - 4500 words - 1

1111857 - Essay Example The oteoclasts have osteoblasts that are replicating to come up with a bone density and mass, if heavy weights fall on them, or dislocate, they are at a greater risk of getting the fractures. Hansen & Puder (2009) stated that in the elderly, the bones become weak as they advance in age in postmenopausal phase. Then, a process called osteoporosis occurs. Hip fractures are common in females because of depleted estrogen levels which predispose them to fractures. By this it means, the bone mass and density gets depleted and in turn leaves it weak. Bentley (2009) notes that, one will know they have hip fractures when they experience pain that starts in the groin or upper thigh. The pain makes the patient walk or may be unable to walk depending on the severity. For pediatrics, they cry a lot and seek attention. Since they do not talk, it may be difficult to tell what they are suffering from, but can point the areas affected. Leroith, Taylor & olefsky (2004) noted that, in the promotive aspect, both gamma nailing, also known as the sliding hip screw is a prosthetic device that is considered to be the best implant for hip fractures, Babhulkar & Tanna (2013). Ben david (2000) stated that, inguinal hernia â€Å"means there is an opening in the muscle wall that does not close, and leaves a weak area in the belly muscle.† Inguinal surgery help enhance a healthy lifestyle for the individuals. In rehabilitation, the individuals are helped to continue with their activities of daily living if not all, but at least partially and this prevents overdependence. Others get cured from the condition completely unless they provoke the recurrence. An example of this is the inguinal surgery. One presents with a bulge in the groin and complains of round lump feeling, accompanied with acute pain that is on and off. According to Heimlich (1962), he stated that, it is good to note that the surgical team, that is the Operating Department Practitioners (ODP) Hattis (2013).  , should