BASF STILL OPTIMISTIC DESPITE 9 Mth DECLINE

German chemical and pharmaceutical major BASF reported plummeting pretax profits in the first nine months of 1993 by 44% to 607 million Deutschemarks ($356.2 million), and a decline in group sales of 4.6% to 32.6 billion marks ($19.1 billion). However, chief executive Juergen Strube says BASF should emerge "stronger" from the current recession which continues to have a negative impact on most of its business segments.

Business conditions were said to have been exacerbated by restructuring and staff cutbacks. The group does not expect to see any improvement in earnings until 1994. BASF's health care business, Knoll, was adversely affected by the German health care reforms. Also, increased competition from generics in the US market had an adverse impact on business.