Baxter completed the sale of its Kidney Care business to Carlyle for $3.80 billion in cash. This divestiture is part of a broader strategy to optimize the company's portfolio and focus on core growth areas.

Baxter completed the implementation of a new operating model in Q3 2023. This model aims to simplify operations and better align manufacturing and supply chain activities with commercial activities.

Baxter completed the sale of its BPS business for $3.96 billion. The proceeds from the sale were used to repay debt obligations, including commercial paper and long-term debt.

Management implemented a new operating model in the third quarter of 2023. The goal is to simplify operations and better align manufacturing and supply chain activities with commercial activities.

Baxter paid down $3.65 billion of net debt during 2024 and through February 21, 2025. This demonstrates a commitment to deleveraging and maintaining an investment-grade credit rating.

Jose Almeida ceased serving as Chair, President and CEO, and Brent Shafer was appointed as Chair and interim CEO. The Board has initiated a search for a permanent CEO.

The sale of the Kidney Care business, integration of Hillrom, and implementation of a simplified operating model all present risks. These include challenges in transitioning the Kidney Care business, management distraction, and potential disputes with Carlyle.

The 10-K highlights ongoing challenges related to inflation, supply chain disruptions, and macroeconomic trends. These factors negatively affect demand, production costs, and overall financial performance.

The company acknowledges the increasing sophistication and frequency of cybersecurity threats. Breaches affecting information technology systems or protected information could lead to material adverse effects on the business.

The 10-K acknowledges substantial competition from international and domestic healthcare, medical product, and pharmaceutical companies. Customer purchasing decisions are primarily focused on cost-effectiveness, price, service, product performance, and technological innovation.

Global efforts toward healthcare cost containment continue to exert pressure on product pricing. Governments around the world use various mechanisms to control healthcare expenditures.

If our competitors respond more quickly to new or emerging technologies and changes in customer requirements, or we do not introduce new versions or upgrades to our product portfolio in response to those requirements, our products may be rendered obsolete or non-competitive.

A new operating model was implemented in the third quarter of 2023 to simplify and streamline operations and better align manufacturing and supply chain to commercial activities. This is expected to improve operational efficiency.

The company continues to face challenges related to the global supply chain, including production delays, increased costs, and shortages of raw materials. These challenges impact the ability to meet demand and accurately model financial objectives.

Hurricane Helene caused damage and disrupted operations at the North Cove facility, leading to an estimated $50 million in charges. This event highlights the vulnerability of operations to unforeseen events.

Expenditures for R&D activities were $590 million in 2024, $518 million in 2023, and $450 million in 2022. These expenditures include costs associated with R&D activities performed at our R&D centers located around the world.

The company's innovation strategy prioritizes investments that drive innovation in product areas where they believe they have compelling opportunities to better serve patients and healthcare professionals.

The company acknowledges the risks and uncertainties related to the development, adoption and use of AI, ML and other emerging technologies, including complying with an increasingly large amount of complex global regulations related specifically to AI and ML.

The company paid down $3.65 billion of net debt during 2024 and through February 21, 2025 using proceeds from the sales of our BPS and Kidney Care businesses.

During 2024, the company paid cash dividends to stockholders totaling $590 million. A reduced dividend was announced in November 2024.

During this deleveraging period, we currently intend to continue paying a dividend (which we reduced in November 2024), not make any share repurchases and be highly selective with respect to any potential acquisitions.

The 2030 Corporate Responsibility Commitment is anchored by three pillars - Empower our Patients, Protect our Planet and Champion our People and Communities.

We expect to announce a refreshed Corporate Responsibility commitment and goal set after the issuance of our 2024 Corporate Responsibility Report (to be issued in June 2025).

The long-term effects of climate change are difficult to predict and may be widespread. The impacts of climate change may include physical risks, social and human effects, compliance costs and transition risks, shifts in market trends and other adverse effects.

General global economic downturns and macroeconomic trends, including heightened inflation, capital markets volatility, interest rate and currency rate fluctuations, changes in monetary policy 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.

Global efforts toward healthcare cost containment continue to exert pressure on product pricing. Governments around the world use various mechanisms to control healthcare expenditures.

Our operations are subject to risks inherent in conducting business globally and under the laws, regulations and customs of various jurisdictions and geographies.