Pharmaceuticals division Hoechst Marion Roussel(HMR) is experiencing particular difficulties in Mexico, Brazil and Venezuela, Hoechst chief financial officer Klaus -Juergen Schmieder said in an interview with Reuters.

"In addition to that, the Russia business, which wasn't that big anyway, has broken off," Schmieder said.

Weather problems in Argentina and Colombia were wreaking havoc with Agrevo's agricultural business, Schmieder said.

In addition, Celanese, which Hoechst plans to eventually list on a stock exchange, is having to cope with a decline in worldwide basic chemical prices.

"We have to recognize that the effects of the Asian crisis will last longer and will have more impact that previously expected," Schmieder said.