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PFIZER REPORTS NET INCOME GROWTH OF 14 PERCENT ON A 4 PERCENT SALES GAIN IN SECOND QUARTER

 PFIZER REPORTS NET INCOME GROWTH OF 14 PERCENT
 ON A 4 PERCENT SALES GAIN IN SECOND QUARTER
 NEW YORK, July 21 /PRNewswire/ -- Pfizer Inc (NYSE: PFE) today reported that second quarter net income rose 14 percent on a 4 percent sales gain. Earnings per share for the second quarter of 1992 were $0.61, up 15 percent from $0.53 in 1991.
 These results reflect the effect of significant divestments and business closures made by Pfizer over the past two years. Sales from ongoing operations in the second quarter increased 13 percent and net income increased 10 percent.
 Excluding recently divested and closed businesses from both 1991 and 1992, three of Pfizer's business segments reported sales gains for the quarter: health care, 15 percent; animal health, 12 percent; and specialty chemicals and minerals, 9 percent. Consumer health care's sales were flat. Within the health care segment, pharmaceutical sales increased 17 percent and hospital products sales increased 9 percent.
 On a reported basis, worldwide sales for the quarter were $1,694.2 million compared with $1,631.1 million in 1991, a 4 percent increase. Net income for the quarter was $203.8 million, a 14 percent increase over the $179.1 million the previous year.
 In the second quarter, Pfizer sold Coty, its fragrance and cosmetics business, and restructured certain other businesses. This resulted in a $3.0 million after-tax gain included in net income ($0.01 in earnings per share) and a $56.5 million restructuring credit to operating income.
 For the first six months of 1992, sales were $3,455.5 million, a 4 percent increase over the $3,326.8 million reported for 1991. Net income was $498.9 million, a 12 percent increase over the $446.5 million the previous year. Year-to-date earnings per share were $1.48, a 12 percent increase over the $1.32 reported last year.
 Commenting on he second quarter results, William C. Steere Jr., Pfizer's chairman and chief executive officer, said, "We are particularly pleased with the success of our new pharmaceutical products, which led to 17 percent pharmaceutical sales growth this quarter, almost all of which was from volume. No U.S. pharmaceutical prices were increased during the quarter."
 Steere continued, "In the past 18 months we have significantly restructured our business. Including Coty, which we sold this quarter, we have divested or closed several businesses -- Deknatel, Pfizer Laser Systems, product lines of Shiley, the international Plax business, citric acid and bulk penicillin -- which in total had more than $820 million in sales in their last full year of their respective operations."
 To provide a clearer understanding of the company's underlying business trends, Pfizer has included financial results of its ongoing operations (Attachment 1) in addition to its reported earnings (Attachment 2).
 Pfizer Inc is a diversified, research-based health care company with global operations. The company reported sales of approximately $6.95 billion for 1991.
 ATTACHMENT NO. 1
 Pfizer's growth from ongoing operations, excluding divested/closed businesses for both 1991 and 1992 is as follows:
 Growth from
 Ongoing Operations
 Pct. Growth from Prior Year 2Q 92 6 Mos. 92
 Sales 13 11
 Production Margin 16 14
 Mktg., Dist. & Adm. 16 16
 R & D 23 17
 Operating Income 10 8
 Net Income 10 9
 Tax Rate (pct) 26 26
 Businesses divested/closed in the past 18 months are as follows:
 Date sold/ Approx. Last
 closed Full-Year Sales
 (millions of dollars)
 12/90 Citric Acid business $180
 6/91 Penicillin business 25
 8/91 Pfizer Laser Systems 3
 10/91 Deknatel 85
 12/91 Oral Care International 70
 2/92 Shiley assets 185
 6/92 Coty 280
 ATTACHMENT NO. 2
 Pfizer Inc and Subsidiary Companies
 Condensed Consolidated Statement of Income 1992/1991
 (Millions of dollars except per share data)
 (Unaudited)
 Second Quarter Pct. Six Months Pct.
 1992 1992 Growth 1992 1991 Growth
 Net sales $1,694.2 $1,631.1 4 $3,455.5 $3,326.8 4
 Operating costs
 and expenses:
 Cost of goods sold 494.4 518.2 (5) 980.4 1,043.4 (6)
 Marketing, distri-
 bution and
 admin. expenses 711.4 684.6 4 1,390.1 1,309.8 6
 Divestitures,
 restructuring and
 unusual items (56.5) -- -- (56.5) -- --
 Research and
 development exps. 214.0 181.7 18 401.8 354.3 13
 Income from opers. 330.9 246.6 34 739.7 619.3 19
 Interest income 46.1 47.4 (3) 91.4 97.1 (6)
 Interest expense (25.5) (30.3) (16) (54.8) (61.4) (11)
 Other income 9.2 7.6 21 15.2 16.0 (5)
 Other deductions (32.5) (25.0) 30 (64.2) (56.9) 13
 Non-operating inc.
 (deductions) - net (2.7) (0.3) 800 (12.4) (5.2) 138
 Inc. bef. provision
 for taxes on inc.
 and minority ints. 328.2 246.3 33 727.3 614.1 18
 Provision for taxes
 on income 124.1 66.5 87 227.9 165.8 37
 Income before
 minority interests 204.1 179.8 14 499.4 448.3 11
 Minority interests .3 .7 (57) .5 1.8 (72)
 Net income $ 203.8 $ 179.1 14 $ 498.9 $ 446.5 12
 Earnings per
 common share $ .61 $ .53 15 $ 1.48 $ 1.32 12
 Notes:
 1) For the periods ended June 28, 1992, and June 30, 1991.


Subsidiaries operating outside the United States are included on the basis of interim periods ended May 24, 1992, and May 26, 1991.
 2) On a reported basis, sales gains/declines were as follows (in pct):
 Second Quarter Six Months
 Health Care + 8 + 7
 Pharmaceutical + 17 + 15
 Hospital Products - 16 - 17
 Consumer Products - 37 - 23
 Animal Health + 12 + 7
 Specialty Chemicals
 and Minerals + 5 + 2
 3) Operating income for the second quarter and six months of 1992 includes a restructuring credit of $56.5 million ($3.0 million after-tax gain) relating to the divestiture and restructuring of certain of the company's businesses. In June, the company sold its Coty line of fragrances and cosmetics for gross proceeds of approximately $440 million, resulting in a pre-tax gain of $244.0 million. The gain was offset by $187.5 million of charges associated with the restructuring, consolidation and streamlining of certain businesses.
 4) The results of operations for the interim periods ended June 28, 1992, are not necessarily indicative of the results which ultimately might be achieved for the current year.
 -0- 7/21/92
 /CONTACT: A. A. Biesada, 212-573-2055, or Rick Honey, 212-573-2051, both of Pfizer/
 (PFE) CO: Pfizer Inc ST: New York IN: MTC SU: ERN


GK -- NY074 -- 1395 07/21/92 13:38 EDT
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