Company: ABBV
Filing Date: 2025-05-09
Form Type: 10-Q
Source: 0001551152-25-000029
Chunk: 35

Company: AbbVie Inc.
Filing Date: 2025-05-09
Form: 10-Q
Item: Part I, Item 1
Chunk 35
---
 AbbVie’s acquisition of Cerevel Therapeutics. In December 2023, AbbVie entered into a $9.0 billion 364-day bridge credit agreement and $5.0 billion 364-day term loan credit agreement. In February 2024, AbbVie borrowed and repaid $5.0 billion under the term loan credit agreement. Interest charged on this borrowing was based on Secured Overnight Financing Rate Reference Rate (SOFR) +0.975% with an effective interest rate of 6.29%. Subsequent to the $15.0 billion issuance of senior notes, AbbVie terminated both the bridge and term loan credit agreements in the first quarter of 2024. In February 2024, concurrent with the ImmunoGen acquisition, the company assumed and repaid an ImmunoGen senior secured term loan at a fair value of $99 million.

Note 9 Post-Employment BenefitsThe following table summarizes net periodic benefit cost relating to the company’s defined benefit and other post-employment plans:Defined benefit plansOther post- employment plansThree months endedMarch 31,Three months endedMarch 31,(in millions)2025202420252024Service cost$63 $72 $10 $11 Interest cost117 113 11 10 Expected return on plan assets(206)(197)— — Amortization of prior service credit— — (9)(9)Amortization of actuarial loss6 13 2 4 Net periodic benefit cost (credit)$(20)$1 $14 $16 

The components of net periodic benefit cost other than service cost are included in other expense, net in the condensed consolidated statements of earnings.

2025 Form 10-Q | 17

Note 10 EquityStock-Based Compensation

Stock-based compensation expense is principally related to awards issued pursuant to the AbbVie 2013 Incentive Stock Program and the AbbVie Amended and Restated 2013 Incentive Stock Program and is summarized as follows:Three months endedMarch 31,(in millions)20252024Cost of products sold$22 $22 Research and development160 133 Selling, general and administrative228 193 Pre-tax compensation expense410 348 Tax benefit70 60 After-tax compensation expense$340 $288 In addition to stock-based compensation expense included in the table