Abbott’s baby formula crisis: A timeline of what led to a DOJ investigation

FOX Business’ Lydia Hu reports from Montclair, New Jersey on the latest news emerging from the nation’s ongoing baby formula shortage on ‘Varney & Co.’ Abbott Laboratories, whose baby formula plant in Michigan was shut down last year due to contamination issues, is being investigated by the Justice Department. The probe comes nearly a year after the plant was first shut down, exacerbating the nationwide formula shortage that left parents and caregivers scrambling. Abbott is just one of four companies – Gerber, Perrigo and Reckitt are the others – that produce 90% of the formula in the US A company spokesperson said Abbott is “cooperating fully” with the federal government. Here is the timeline of how the baby formula maker got to this point: ABBOTT RECALLS SEVERAL READY-TO-FEED LIQUID BABY FORMULA October 2021 Officials at the Food and Drug Administration (FDA) received a whistleblower complaint alleging numerous safety violations at the Michigan plant. The complaint included claims that employees had falsified records and failed to properly test the formula before releasing it. December 2021 Although the complaint was reviewed in late October, an interview with the employee didn’t take place until December. A truck trailer outside the Abbott Nutrition factory in Sturgis, Michigan, May 19, 2022. (Matthew Hatcher/Bloomberg via / Getty Images)FDA Commissioner Dr. Robert Califf was later grilled by House lawyers on why it took so long for the FDA to investigate the complaint. January 2022 The FDA sends inspectors to the Sturgis facility and begins an investigation on Jan. 31.February 2022 In early February, Abbott initiated a recall of certain Similac, Alimentum and EleCare powdered infant formulas that were manufactured at the Sturgis plant, and ceased operations at the facility. ABBOTT RECALLS SIMILAC, OTHER BABY FORMULAS AFTER 4 REPORTED ILLNESSES In a separate notice, the FDA warned consumers not to use Abbott’s recalled formula as it investigated four bacterial infections among infants who consumed powdered formula from the plant. All four were hospitalized and two died. The first of those cases was reported to the FDA in September. Ticker Security Last Change Change % ABT ABBOTT LABORATORIES 114.01 +1.19 +1.05% March 2022 The FDA revealed findings of its inspection of the plant, which showed in part that Abbott didn’t maintain clean surfaces used in producing and handling the powdered formula. Additionally, inspectors found a history of contamination with the bacteria, known as cronobacter, including eight instances between fall 2019 and February 2022. While inspectors uncovered several violations at the plant, Abbott has stated that its products have not been directly linked to the infections, which involved different bacterial strains. April 2022 Abbott submitted a response and corrective action plan to the FDA on April 8 following the inspection. The Abbott Laboratories facility where dozens of recalled types of powdered baby formulas were made, in Sturgis, Michigan, on May 20, 2022. (Eric Cox/File Photo / Reuters Photos) Even before this response, the company said it had already “begun working to implement improvements and take corrective action,” including reviewing and updating education, training and safety procedures for both employees and visitors, as well as updating protocols regarding water, cleaning and maintenance procedures at the facility.ABBOTT’S TROUBLED BABY FORMULA FACTORY BACK IN BUSINESSThe company also said it “immediately implemented corrections to address the items that the FDA raised in its observations provided at the conclusion of the inspection.” On April 28, Abbott announced that none of the Abbott formula distributed to consumers tested positive for Cronobacter sakazakii or salmonella. Baby formula on the shelves of Walmart in Raleigh, North Carolina, on June 2, 2022. (Arriana Mclymore/File Photo / Reuters Photos)”Testing of retained products by Abbott and FDA for Cronobacter sakazakii and/or Salmonella all came back negative. No Salmonella was found at the Sturgis facility during the investigation,” the company said in a statement. GET FOX BUSINESS ON THE GO BY CLICKING HERE The company said the Cronobacter sakazakii that was found in environmental testing during the investigation was in non-product contact areas of the Sturgis facility “and has not been linked to the two available patient samples or any other known infant illness.”May 2022 Abbott warned that it could take at least two months to get new products on store shelves. At the same time, retailers, including Target, CVS and Walgreens, imposed purchasing limitations on baby formula as the nationwide shortage worsened. June 2022 Abbott restarted production at the plant on June 4, but was forced to pause production due to severe weather. Shelves typically stocked with baby formula sit mostly empty at a store in San Antonio, May 10, 2022. (Eric Gay / AP Newsroom) Abbott stopped production of its EleCare specialty formula to assess damage caused by a storm and to clean and re-sanitize the plant. The company said it expected production to be delayed for a few weeks. ABBOTT SAYS IT WILL BE AT LEAST TWO MONTHS BEFORE BABY FORMULA FROM SHUTTERED PLANT HITS SHELVES July 2022 Abbott resumed production on July 1. The company began production of EleCare and later moved on to producing some metabolic formulas. August 2022 The company restarted Similac infant formula production at the Sturgis facility. Abbott estimated that it would take six weeks for the product to begin shipping to retail locations. The company said that throughout the month it will be able to supply the US with more than 8 million pounds of infant formula, which is more than what it produced in August 2021. January 2023 The Justice Department’s consumer protection branch began looking into the conduct at the Sturgis plant that led to its shutdown. The Wall Street Journal first reported the investigation. The Associated Press contributed to this report.

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