The company is working to complete the proposed separation of its Kidney Care business into an independent publicly traded company. This is a major strategic shift that could unlock value. However, the spinoff is subject to customary conditions, including final approval from the Board of Directors.

The company completed the sale of its BPS business in September 2023 and received cash proceeds of $3.96 billion. The company intends to use substantially all of the after-tax proceeds to repay certain of its debt obligations.

The company completed the implementation of a new operating model in Q3 2023, which is intended to simplify and streamline operations and better align manufacturing and supply chain to commercial activities. This organizational change could improve efficiency and responsiveness.

The 10-K acknowledges the difficulties and management distraction inherent in integrating Hillrom, noting that certain aspects have taken longer than anticipated and required more effort. This suggests potential operational inefficiencies and integration risks.

The company received a Warning Letter from the FDA in July 2023 based on observations from a January 2023 inspection of its Ahmedabad facility. The company has implemented corrective and preventive actions and continues to engage with the FDA. This indicates ongoing compliance efforts.

The company is committed to retaining its investment grade rating and is taking actions toward achieving a 2.75x net leverage target in 2025. This demonstrates a focus on financial discipline and balance sheet management.

The 10-K highlights that global economic downturns, macroeconomic trends including heightened inflation, capital markets volatility, interest rate and currency rate fluctuations, and economic slowdown or recession have resulted in, and may continue to result in, unfavorable conditions that negatively affect demand for our products and exacerbate other risks.

The 10-K states that the proposed spinoff will be subject to the satisfaction of a number of customary conditions, including final approval from Baxter's Board of Directors. The failure to satisfy any of the required conditions could delay the completion of the proposed spinoff for a significant period of time or prevent it from occurring at all.

The 10-K states that our businesses have begun to face, and will continue to face, material challenges in connection with the proposed spinoff and the other strategic actions we are undertaking (including the recent implementation of a simplified operating model and the ongoing simplification of our manufacturing footprint).

The 10-K states that although no single company competes with us in all of our businesses, we face substantial competition in all of our markets from international and domestic healthcare, medical products and pharmaceutical companies and providers of all sizes, and these competitors often differ across our businesses.

The 10-K states that governments around the world use various mechanisms to control healthcare expenditures, such as price controls, the formation of public contracting authorities, product formularies, and competitive tenders which require the submission of a bid to sell products.

The 10-K states that with the healthcare market's increased focus on asset and resource efficiency, as well as reimbursement constraints and competitive dynamics, we have seen margins for some of our products decline and they may continue to do so over time.

The 10-K states that we recently implemented a new operating model intended to simplify and streamline our operations and better align our manufacturing and supply chain to our commercial activities.

The 10-K states that in recent years, we have undertaken actions to transform our cost structure and enhance operational efficiency. These efforts have included restructuring the organization, optimizing the manufacturing footprint, R&D operations and supply chain network, employing disciplined cost management, and centralizing and streamlining certain support functions.

The 10-K states that we have faced, and may in the future face, difficulties obtaining supplies of key materials, such as electromechanical components, active ingredients for pharmaceuticals and resins, due to supply chain disruptions and global pandemics.

The 10-K states that we believe our investment in research and development (R&D), consistent with our portfolio optimization and capital allocation strategies, will help fuel our future growth and our ability to remain competitive.

The 10-K states that expenditures for our R&D activities were $667 million in 2023, $602 million in 2022, and $531 million in 2021.

The 10-K states that patents and other proprietary rights are essential to our business. We rely on patents, trademarks, copyrights, trade secrets, know-how and confidentiality agreements to develop, maintain and strengthen our competitive position.

The 10-K states that we paid down $2.80 billion of debt during 2023, using proceeds from the sale of our BPS business, and we are committed to retaining our investment grade rating, including taking actions toward achieving a 2.75x net leverage target in 2025.

The 10-K states that we also intend to reinstate share repurchases over the longer term.

The 10-K states that during this deleveraging period, we currently intend to continue paying a dividend, not make any share repurchases and be highly selective with respect to any potential acquisitions.

The 10-K states that driven by our mission to save and sustain lives, Baxter's corporate responsibility strategy focuses on addressing the environmental, social and governance (ESG) issues that affect our patients, customers, employees, communities and other stakeholders worldwide.

The 10-K states that in 2021, we launched our 2030 Corporate Responsibility Commitment featuring ten strategic goals for focused action. Our Commitment is anchored by three pillars - Empower Our Patients, Protect Our Planet and Champion Our People and Communities.

The 10-K states that our operations involve the use of substances regulated under environmental laws, primarily in manufacturing and sterilization processes. Our environmental policies require compliance with all applicable environmental regulations and contemplate, among other things, appropriate capital expenditures for environmental protection.

The 10-K states that as a medical products company, our operations and many of the products manufactured or sold by us are subject to extensive regulation by numerous government agencies, both within and outside the United States.

The 10-K states that our operations are subject to risks inherent in conducting business globally and under the laws, regulations and customs of various jurisdictions and geographies. These risks include changes in exchange controls and other governmental actions, loss of business in government and public tenders that are held annually in many cases, increasingly complex labor environments, availability of raw materials and component parts, changes in taxation, tariffs, export control restrictions, changes in or violations of U.S. or local laws, dependence on a few government entities as customers, pricing restrictions, economic and political instability, monetary or currency volatility or

The 10-K states that as a global company, we are subject to global data privacy and cybersecurity laws, regulations and codes of conduct that apply to our businesses. We are required to comply with increasingly complex and changing legal and regulatory requirements and frameworks in the United States and in other countries that govern not only the collection, use, storage, security, transfer, disclosure and other processing of protected health information and personal and sensitive data, but also the timely disclosure of cybersecurity incidents.