Frankfurt, Jan 20: German chemical group Hoechst AG plans to charge most of the 3.3 billion mark ($1.96 billion) cash restructuring cost from its merger with France's Rhone-Poulenc SA in 1999 and the rest in 2000, the Financial Times reported on Wednesday.In December, Hoechst and Rhone-Poulenc said they planned to merge their life-sciences operations to create the world's largest drugs and agrochemicals company and eventually lead to a full merger.
The newspaper also reported that Hoechst chief financial officer Klaus-Juergen Schmieder confirmed an earlier profit warning for 1998 by chief executive Juergen Dormann.
In October, Hoechst warned that operating profit in 1998 would be lower than expected and comparatively worse than in 1997 due to negative market conditions.
Hoechst said then that earnings per share according to the German DVFA/SG accounting method would also be lower than previously thought.
Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.
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