DECLINES FROM BAYER AS EXPECTED

Bayer of Germany's pretax profits for the first nine months of 1993 declined 19% to 1.8 billion Deutschemarks ($1.05 billion). Sales at the chemical and pharmaceutical company also fell, down 2.3% to 31 billion marks ($18.14 billion). European sales declines were said to be behind the shortfalls, with the situation in Germany has been particularly difficult. A cyclical drop in sales of chemicals also hurt the company.

While there had been declines in Europe, there were increases in other international markets. In view of the diverse performances, Manfred Schneider, Bayer's chairman, denied the existence of a worldwide recession. Dr Schneider singled out business trends in North America, where sales rose 10% to 7.3 billion marks, as a bright spot in the overall picture. Earnings from both the pharmaceutical and the chemicals businesses in North America were healthy. With 85% of sales in North America generated by local production, Bayer is comparatively immune to the dollar exchange rate.

Bayer's health care division achieved sales of 7 billion marks in the first nine months of the year, up 4.7%. This was said to be due entirely to good business abroad.