AbbvVie and Shire terminate merger proposals

AbbVie Inc. and Shire plc have agreed to terminate their proposed merger following the decision by AbbVie’s Board to withdraw support for the proposed transaction. The Company’s decision was based upon its assessment of the September 22, 2014 notice issued by the U.S. Department of Treasury, which re-interpreted longstanding tax principles in a uniquely selective manner designed specifically to destroy the financial benefits of these types of transactions. The notice introduced an unacceptable level of risk and uncertainty given the magnitude of the proposed changes and the stated intention of the Department of Treasury to continue to revise tax principles to further impact such transactions.