Abbott Reports Deeper Government Scrutiny Over Formula Shortage

Abbott Laboratories is facing another probe into its role in last year’s baby formula shortage that left millions of American families scrambling for vital nutrition products.

Last month, Abbott received a civil investigative demand from the US Federal Trade Commission seeking information in connection with its probe of companies that participate in bids for formula contracts, according to a financial statement filed Friday with the US Securities and Exchange Commission. The investigation could lead to a lawsuit by the FTC if the agency finds Abbott engaged in anticompetitive conduct, such as collusion with other manufacturers on pricing.

For decades, ...