Stability-indicative determination of bambuterol hydrochloride (BH) in the presence of its degradation product (terbutaline), which is also the metabolite, is investigated. The degradation product has been isolated, via aciddegradation, characterized and elucidated. Selective quantification of BH, singly in bulk form, pharmaceutical formulations and/or in the presence of its major degradation product is demonstrated. The indication of stability has been undertaken under conditions likely to be expected at normal storage conditions. Among the spectrophotometric methods adopted for quantification are second derivative (2D), first derivative of ratio spectra (1DD), ratio subtraction and bivariate analysis.