"Accelerating Growth Cycle" For R-PR

For Franco-American drugmaker Rhone-Poulenc Rorer, "1995 marks the beginning of an accelerating growth cycle," said Michel de Rosen, addressing his first annual shareholders meeting as chairman, president and chief executive. Sales growth, he said, has averaged 12% annually since the formation of R-PR in 1990, "but most importantly, we have set the stage for accelerating earnings growth."

Innovative, high-margin products, supplemented by an improved cost structure, will be key factors in the company's ability to deliver future growth for shareholders, according to Mr de Rosen. He added that "debt reduction remains one of R-PR's key priorities during 1996 and we intend to accomplish this through cash flow from operations and proceeds from divestitures." Proceeds from the sale of the Scientific Instruments division acquired with Fisons last year (Marketletters passim) and other sales should amount to $750 million by mid-1997, he noted.

1995 was most notable, he added, for the acquisition of Fisons and the formation of the plasma proteins joint venture Centeon. And he pointed out that shareholders realized a 46% gain in their holdings during the year, and additional value will be realized as new products are commercialized.