Abbott Laboratories 2014 Annual Report Download - page 60

ABBOTT 2014 ANNUAL REPORT
58
REPORTS OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
reasonable assurance about whether eective internal control over
financial reporting was maintained in all material respects. Our
audit included obtaining an understanding of internal control over
financial reporting, assessing the risk that a material weakness exists,
testing and evaluating the design and operating eectiveness of
internal control based on the assessed risk, and performing such
other procedures as we considered necessary in the circumstances.
We believe that our audit provides a reasonable basis for our opinion.
A company’s internal control over financial reporting is a process
designed to provide reasonable assurance regarding the reliability
of financial reporting and the preparation of financial statements for
external purposes in accordance with generally accepted accounting
principles. A company’s internal control over financial reporting
includes those policies and procedures that (1) pertain to the mainte-
nance of records that, in reasonable detail, accurately and fairly
reflect the transactions and dispositions of the assets of the company;
(2) provide reasonable assurance that transactions are recorded as
necessary to permit preparation of financial statements in accordance
with generally accepted accounting principles, and that receipts and
expenditures of the company are being made only in accordance with
authorizations of management and directors of the company; and
(3) provide reasonable assurance regarding prevention or timely detec-
tion of unauthorized acquisition, use, or disposition of the company’s
assets that could have a material eect on the financial statements.
Because of its inherent limitations, internal control over financial
reporting may not prevent or detect misstatements. Also, projections
of any evaluation of eectiveness to future periods are subject to
the risk that controls may become inadequate because of changes
in conditions, or that the degree of compliance with the policies or
procedures may deteriorate.
As indicated in the accompanying Management Report on Internal
Control over Financial Reporting, management’s assessment of and
conclusion on the eectiveness of internal control over financial
reporting did not include the internal controls of the acquired CFR
Pharmaceuticals S.A. business, which is included in the 2014 consoli-
dated financial statements of Abbott Laboratories and subsidiaries
and constituted approximately 10% of consolidated total assets as of
December31, 2014 and 1% of consolidated net sales for the year then
ended. Our audit of internal control over financial reporting of Abbott
Laboratories and subsidiaries also did not include an evaluation of the
internal control over financial reporting of CFR Pharmaceuticals S.A.
In our opinion, Abbott Laboratories and subsidiaries maintained,
in all material respects, eective internal control over financial
reporting as of December31, 2014, based on the COSO criteria.
We also have audited, in accordance with the standards of the
Public Company Accounting Oversight Board (United States), the
consolidated balance sheet of Abbott Laboratories and subsidiaries
as of December31, 2014, and the related consolidated statements
of earnings, comprehensive income, shareholders’ investment
and cash flows for the year ended December31, 2014 of Abbott
Laboratories and subsidiaries and our report dated February 27,
2015 expressed an unqualified opinion thereon.
Ernst & Young LLP
Chicago, Illinois
February 27, 2015
The Board of Directors and Shareholders of Abbott Laboratories:
We have audited the accompanying consolidated balance sheet
of Abbott Laboratories and subsidiaries as of December31, 2014,
and the related consolidated statements of earnings, comprehen-
sive income, shareholders’ investment and cash flows for the year
ended December31, 2014. These financial statements are the
responsibility of the Company’s management. Our responsibility
is to express an opinion on these financial statements based
on our audit.
We conducted our audit in accordance with the standards of
the Public Company Accounting Oversight Board (United States).
Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial state-
ments are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial
statement presentation. We believe that our audit provides a
reasonable basis for our opinion.
In our opinion, the financial statements referred to above present
fairly, in all material respects, the consolidated financial position
of Abbott Laboratories and subsidiaries at December31, 2014, and
the consolidated results of their operations and their cash flows
for the year ended December31, 2014, in conformity with U.S.
generally accepted accounting principles.
We also have audited, in accordance with the standards of the
Public Company Accounting Oversight Board (United States),
Abbott Laboratories and subsidiaries’ internal control over financial
reporting as of December31, 2014, based on criteria established in
Internal Control-Integrated Framework issued by the Committee
of Sponsoring Organizations of the Treadway Commission (2013
framework), and our report dated February 27, 2015 expressed
an unqualified opinion thereon.
Ernst & Young LLP
Chicago, Illinois
February 27, 2015
The Board of Directors and Shareholders of Abbott Laboratories:
We have audited Abbott Laboratories and subsidiaries’ internal
control over financial reporting as of December31, 2014, based on
criteria established in Internal Control—Integrated Framework
issued by the Committee of Sponsoring Organizations of the
Treadway Commission (2013 framework) (the COSO criteria).
Abbott Laboratories and subsidiaries’ management is responsible
for maintaining eective internal control over financial reporting,
and for its assessment of the eectiveness of internal control over
financial reporting included in the accompanying Management
Report on Internal Control over Financial Reporting. Our respon-
sibility is to express an opinion on the company’s internal control
over financial reporting based on our audit.
We conducted our audit in accordance with the standards of the
Public Company Accounting Oversight Board (United States). Those
standards require that we plan and perform the audit to obtain