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Thursday, August 14, 2014

Top U.S. lawmaker urges Hospira not to flee tax system, (NYSE: HSP)

A senior U.S. senator said on Thursday he has written to Hospira Inc and urged the drug and medical device maker not to move its tax domicile abroad to save on U.S. taxes.Citing recent reports that Hospira plans to purchase the medical nutrition unit of France's Danone SA, Dick Durbin said in a statement he told Chief Executive Officer Michael Ball that Hospira should not "turn its back on American taxpayers and consumers by taking advantage of a tax loophole called 'inversion.'"The statement from the No. 2 Democrat in the Senate came amid growing concern in Washington with inversion transactions, which allow U.S. corporations to shift their tax home-base to a different country and cut their U.S. tax bills.Of 52 inversions and similar deals done since 1983, 22 have occurred just since 2008, with 10 more being finalized and many more said to be in the works.

Hospira, Inc. (Hospira) is a provider of injectable drugs and infusion technologies. Shares of HSP traded higher by 1.0% or $0.55/share to $55.71. In the past year, the shares have traded as low as $38.11 and as high as $56.78. On average, 1103100 shares of HSP exchange hands on a given day and today's volume is recorded at 1136137.