I would agree with #2 for sure and still on the fence about #1. Why would they spin it out with a hedge fund when it's clear they aren't investing heavily in improving that part of their business? Do they just want to milk it off their balance sheet?

I definitely agree that they are trying to get other bidders in the game and help get more out of the sale. I suppose the odds of DECN settlement and how soon are contingent on any other offer(s) J&J gets. It will be interesting to see how motivated the Chinese are as J&J can use their Q1 webcast to beat the drum a little louder.