Analytical expressions of the free parameters of a two-parameter stabilizing control (TPSC), solving an input/output (I/O) decoupling problem, are presented, and stability conditions are given. Multi-input-multi-output (MIMO), proper, lumped and linear time invariant (LTI) systems are considered. These systems have stabilizable and detectable realizations. The separation principle is applied to design a dynamic output control in a controller-observer feedback configuration. The I/O relation of the overall system is equivalent to a subsystem, in which the I/O decoupling problem has a solution. Also, if the state dimension of the plant is even, and is double the input dimension of the plant, then coprime factorizations of the plant used for the stabilizing controllers are proposed. The results are illustrated through an example.