Hospira Announces CEO Succession Plan

LAKE FOREST, Illinois, August 20, 2010 - — Chris Begley to retire as CEO and assume role as executive chairman;
Board to initiate search for successor –

The board of directors of Hospira, Inc. (NYSE: HSP), a global specialty
pharmaceutical and medication delivery company, today announced that
Christopher B. Begley, chairman and chief executive officer (CEO), has
indicated his intent to retire from the CEO position after more than six
years of dedicated service. Begley will serve as CEO until his successor is
named. He will then remain an employee of the company as executive chairman
of the Hospira board, ensuring continuity of leadership and an orderly
transition of his CEO responsibilities.

"Launching Hospira as an independent company has been the most rewarding
experience of my three decades in healthcare, and I've been extremely
privileged to work with such a talented and dedicated team of employees to
advance wellness for our stakeholders around the globe," said Begley. "Over
the last six years we have transformed this company from one of declining
sales and margins to strong growth and profitability, and the time is right
for a new CEO to lead Hospira on its patient-focused journey to sustainable
top-tier financial performance. I look forward to remaining an active
contributor to Hospira, confident the company is stronger and better
positioned for success now than at any point in our rich history."

As the company's founding CEO, Begley oversaw Hospira's 2004 spin-off
from Abbott Laboratories, drove the development of the company's business
strategies and growth plans, and created the company's guiding principles –
its vision, values and stakeholder commitments. During his tenure, Begley
doubled Hospira's geographic footprint and revenue outside the United States,
improved adjusted gross margins by more than 1,000 basis points, generated
more than US$3 billion in cash flow from operations, and doubled its market
capitalization.

In 2009, Begley launched Project Fuel, a company-wide optimization effort
designed to simplify the business, drive continuous improvement and bolster
operational excellence. Project Fuel's transformative initiatives have not
only contributed to these strong financial results, but also translated to
increased investments across the company to drive future profitable growth
and shareholder returns.

The company's board of directors has formed a search committee and
engaged Egon Zehnder, an internationally recognized executive search leader,
to identify Begley's successor, focusing on external candidates with strong
healthcare backgrounds and proven experience leading large multinational
companies.

In another organizational move, Terrence C. Kearney, chief operating
officer (COO), has announced his intention to retire by the end of 2010.
Kearney has also served Hospira since its launch, first as the company's
chief financial officer and then as its COO. Underscoring the strength of the
operations leadership team, Kearney's operations-focused role will be filled
internally. James H. Hardy, currently corporate vice president, Supply Chain,
will be named to the new role of senior vice president, Operations, effective
Dec. 31, 2010. Hardy will immediately begin to work with Kearney to ensure a
seamless transition.

Irving W. Bailey, II, Hospira's lead independent director, said, "As part
of the board's disciplined succession-planning process, we have anticipated
and planned for these transitions. Chris and Terry have made significant
contributions to the growth of the company and the creation of shareholder
value over the past six years, and they have established a strong
organization to build upon Hospira's success." Added Bailey, "We are
particularly grateful that Chris will continue his leadership in the role of
executive chairman and know that his active involvement will help ensure a
successful transition for our employees, customers and shareholders."

Webcast

A 15-minute conference call for investors and media will be held at 8:30
a.m. Central time on Friday, Aug. 20. A live webcast of the conference call
will be available at www.hospirainvestor.com. Listeners should log on
approximately 10 minutes in advance to ensure proper computer setup for
receiving the webcast. A replay will be available on the Hospira Web site for
30 days following the call.

About Hospira

Hospira, Inc. is a global specialty pharmaceutical and medication
delivery company dedicated to Advancing Wellness(TM). As the world leader in
specialty generic injectable pharmaceuticals, Hospira offers one of the
broadest portfolios of generic acute-care and oncology injectables, as well
as integrated infusion therapy and medication management solutions. Through
its products, Hospira helps improve the safety, cost and productivity of
patient care. The company is headquartered in Lake Forest, Ill., and has
approximately 13,500 employees. Learn more at www.hospira.com.

Private Securities Litigation Reform Act of 1995 -

A Caution Concerning Forward-Looking Statements

This press release contains forward-looking statements within the meaning
of the Private Securities Litigation Reform Act of 1995, including
projections of certain measures of Hospira's results of operations,
projections of certain charges and expenses, and other statements regarding
Hospira's goals and strategy. Hospira cautions that these forward-looking
statements are subject to risks and uncertainties that may cause actual
results to differ materially from those indicated in the forward-looking
statements. Economic, competitive, governmental, regulatory, legal,
technological and other factors that may affect Hospira's operations and may
cause actual results to be materially different from expectations include the
risks, uncertainties and factors discussed under the headings "Risk Factors"
and "Management's Discussion and Analysis of Financial Condition and Results
of Operations" in Hospira's latest Annual Report on Form 10-K and subsequent
Forms 10-Q, filed with the Securities and Exchange Commission, which are
incorporated by reference. Hospira undertakes no obligation to release
publicly any revisions to forward-looking statements as the result of
subsequent events or developments.

Media, Stacey Eisen, +1-224-212-2276, or Financial Community, Karen King, +1-224-212-2711, both of Hospira, Inc.