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PROCTER & GAMBLE PHARMACEUTICALS TO RELOCATE SOME EMPLOYEES

 NORWICH, N.Y., Sept. 13 /PRNewswire/ -- Procter & Gamble Pharmaceuticals today announced plans to relocate most of its commercial operations for its prescription drug business to Cincinnati, where P&G (NYSE: PG) is headquartered, by September 1994.
 The company also said it will maintain a strong presence in Norwich, N.Y., which will continue to serve as P&G's base of operations for product development for its worldwide prescription drug business. In fact, P&G said it expects to double the size of its product development operation in Norwich by the year 2000.
 "As we said in breaking ground for our new Health Care Research Center in Greater Cincinnati two years ago, Cincinnati will become the hub of our worldwide health care products network," said G. G. Cloyd, vice president of pharmaceuticals and research and development for P&G. "At that time, we also said some jobs will be moving from Norwich to Cincinnati -- but Norwich will remain 'home base' for our prescription drug development organization.
 "Relocating our commercial units in Cincinnati, where the rest of our health care and corporate resources are headquartered, will greatly improve our efficiency and help us stay competitive in the fast-changing pharmaceutical industry," Cloyd said. "As our new global Health Care Research Center comes on line in 1995, it just makes good business sense to consolidate some of our operations this way."
 This decision is part of a review initiated by P&G Pharmaceuticals last fall to identify potential organizational efficiencies and reduce costs, Cloyd said. "We've been looking for ways to integrate our prescription and over-the-counter drug businesses for some time. This is an excellent opportunity to do that."
 Cloyd added: "While this was a very difficult decision, after considering all the factors, we concluded that integrating our business operations will help make P&G a faster, stronger and more cost-effective player in pharmaceuticals."
 About 320 jobs will be affected once the relocation is complete. Of these, 165 people are expected to transfer to Cincinnati. Another 155 positions will be eliminated. This means about 800 jobs will remain in Norwich, including 135 commercial positions to support ongoing product development and worldwide manufacturing operations. P&G said it expects the product development group to grow over the next few years.
 "Naturally, we've carefully considered the near-term impact on our people and the Norwich community, and we'll be taking various steps to help where we can," Cloyd said. "For those displaced, we'll provide a generous separation compensation package. This will include continued health coverage, professional outplacement and retraining services and house valuation protection."
 Cloyd said the company will also establish a special task force to work with economic development, political and community leaders on a plan to effectively market P&G's business facility in Norwich. He added the company will continue to play a leadership role in Norwich, including financial support for various community-based projects and agencies.
 P&G makes and markets a range of prescription and non-prescription health care products worldwide. The company's major pharmaceutical brands include Macrobid, Didronel, Asacol and Entex. Its major OTC brands include Crest, Metamucil, Pepto-Bismol and the Vicks line of cough and cold products.
 -0- 9/13/93
 /CONTACT: Kristin Burbank, 513-945-8066, Don Tassone, 513-945-8170, or Susan Dietrich, 607-335-2838, all of Procter & Gamble/
 (PG)


CO: Procter & Gamble Pharmaceuticals ST: New York, Ohio IN: MTC HOU SU:

AR -- CL013 -- 1346 09/13/93 13:30 EDT
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Publication:PR Newswire
Date:Sep 13, 1993
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