=====================================================================
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
QUARTERLY REPORT UNDER SECTION 13 OR 15 (d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For Quarter Ended March 31, 1995 Commission File Number 1-1225
AMERICAN HOME PRODUCTS CORPORATION
----------------------------------
(Exact name of registrant as specified in its charter)
Delaware 13-2526821
-------- ----------
(State or other jurisdiction of (I.R.S. Employer Identification No.)
incorporation or organization)
Five Giralda Farms, Madison, N.J. 07940
--------------------------------- -----
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (201) 660-5000
Indicate by check mark whether the registrant (1) has filed
all reports required to be filed by Section 13 or 15 (d) of the
Securities Exchange Act of 1934 during the preceding 12
months (or for such shorter period that the registrant was
required to file such reports), and (2) has been subject to
such filing requirements for the past 90 days.
Yes X No
------ ------
The number of shares of Common Stock outstanding as of the close of
business on April 28, 1995:
Number of
Class Shares Outstanding
-------------------------------- ------------------
Common Stock, $.33-1/3 par value 308,132,221
======================================================================
<PAGE>
AMERICAN HOME PRODUCTS CORPORATION AND SUBSIDIARIES
INDEX
Page No.
--------
Part I - Financial Information 2
Item 1. Financial Statements:
Consolidated Condensed Balance Sheets -
March 31, 1995 and December 31, 1994 3
Consolidated Condensed Statements of Income -
Three Months Ended March 31, 1995 and 1994 4
Consolidated Condensed Statements of Retained
Earnings and Additional Paid-in Capital -
Three Months Ended March 31, 1995 and 1994 5
Consolidated Condensed Statements of Cash Flows -
Three Months Ended March 31, 1995 and 1994 6
Notes to Consolidated Condensed Financial Statements 7
Item 2. Management's Discussion and Analysis of
Financial Condition and Results of Operations 8-13
Part II - Other Information
Item 1. Legal Proceedings 14
Item 6. Exhibits and Reports on Form 8-K 14
Signature 15
Exhibit Index Ex-1
-1-
<PAGE>
Part I - Financial Information
-------------------------------
AMERICAN HOME PRODUCTS CORPORATION AND SUBSIDIARIES
The consolidated condensed financial statements included herein
have been prepared by the Company, without audit, pursuant to the
rules and regulations of the Securities and Exchange Commission.
Certain information and footnote disclosures normally included in
financial statements prepared in accordance with generally
accepted accounting principles have been condensed or omitted
pursuant to such rules and regulations; however, the Company
believes that the disclosures are adequate to make the
information presented not misleading. In the opinion of
management, the financial statements include all adjustments
necessary to present fairly the financial position of the Company
as of March 31, 1995 and December 31, 1994, the results of its
operations, cash flows and the changes in retained earnings and
additional paid-in capital for the three months ended March 31,
1995 and 1994. It is suggested that these financial statements
and management's discussion and analysis of financial condition
and results of operations be read in conjunction with the
financial statements and the notes thereto included in the
Company's latest Annual Report on Form 10-K.
-2-
<PAGE>
AMERICAN HOME PRODUCTS CORPORATION AND SUBSIDIARIES
CONSOLIDATED CONDENSED BALANCE SHEETS
(In Thousands Except Per Share Amounts)
March 31, Dec. 31,
1995 1994
----------- -----------
ASSETS
Cash and cash equivalents................... $ 1,046,872 $ 1,696,204
Marketable securities....................... 250,056 247,970
Accounts receivable less allowances......... 2,746,449 2,380,730
Inventories:
Finished goods......................... 1,180,920 1,158,045
Work in process........................ 552,975 525,269
Materials and supplies................. 568,087 562,836
----------- -----------
2,301,982 2,246,150
Other current assets........................ 1,290,643 1,250,192
----------- -----------
Total Current Assets................... 7,636,002 7,821,246
Property, plant and equipment............... 5,535,252 5,458,075
Less accumulated depreciation.......... 1,685,736 1,646,145
----------- -----------
3,849,516 3,811,930
Goodwill.................................... 9,134,717 9,181,129
Other assets................................ 880,599 860,507
----------- -----------
Total Assets $21,500,834 $21,674,812
=========== ===========
LIABILITIES
Loans payable to banks...................... $ 107,977 $ 113,284
Trade accounts payable...................... 1,107,352 1,042,468
Accrued expenses............................ 2,842,252 2,999,127
Accrued federal and foreign taxes........... 546,395 463,207
---------- -----------
Total Current Liabilities.............. 4,603,976 4,618,086
Long-term debt.............................. 8,607,457 9,973,240
Accumulated postretirement benefit
obligation............................. 707,213 696,814
Other noncurrent liabilities................ 2,080,876 1,809,153
Minority interests.......................... 342,392 323,418
STOCKHOLDERS' EQUITY
$2 convertible preferred stock,
par value $2.50 per share.............. $ 90 $ 91
Common stock, par value $.33-1/3 per share.. 102,451 101,994
Additional paid-in capital.................. 1,096,155 1,020,658
Retained earnings........................... 4,022,914 3,226,100
Currency translation adjustments............ (62,690) (94,742)
----------- -----------
Total Stockholders' Equity............. 5,158,920 4,254,101
----------- -----------
$21,500,834 $21,674,812
=========== ===========
The accompanying notes are an integral part of these balance sheets.
-3-
<PAGE>
AMERICAN HOME PRODUCTS CORPORATION AND SUBSIDIARIES
CONSOLIDATED CONDENSED STATEMENTS OF INCOME
(In Thousands Except Per Share Amounts)
Three Months Ended March 31,
1995 1994
---------- ----------
Net sales............................... $3,491,029 $2,144,045
---------- ----------
Cost of goods sold...................... 1,245,028 657,465
Selling, administrative and general
expenses.............................. 1,245,286 732,682
Research and development expenses....... 320,188 172,904
Other (income) expense, net............. (846,117) 3,493
---------- ----------
Income before federal and foreign taxes. 1,526,644 577,501
Provision for taxes..................... 504,024 161,701
---------- ----------
Net income.............................. $1,022,620 $ 415,800
========== ==========
Net income per share of common stock.... $ 3.33 $ 1.34
========== ==========
Dividends per share of common stock..... $ 0.75 $ 0.73
========== ==========
Average number of common shares and
common share equivalents of preferred
stock outstanding during the period
used in the computation of net income
per share............................. 306,814 309,900
The accompanying notes are an integral part of these statements.
-4-
<PAGE>
AMERICAN HOME PRODUCTS CORPORATION AND SUBSIDIARIES
CONSOLIDATED CONDENSED STATEMENTS OF RETAINED EARNINGS
AND ADDITIONAL PAID-IN CAPITAL
(In Thousands)
Three Months Ended March 31,
RETAINED EARNINGS 1995 1994
---------- ----------
Balance, beginning of period $3,226,100 $2,884,244
Add: Net income 1,022,620 415,800
---------- ----------
4,248,720 3,300,044
---------- ----------
Less: Cash dividends declared 229,829 226,510
Cost of treasury stock acquired,
less amounts charged to capital 1,200 155,233
---------- ----------
231,029 381,743
---------- ----------
Unrealized gain (loss) on marketable
securities 5,223 (4,343)
---------- ----------
Balance, end of period $4,022,914 $2,913,958
========== ==========
ADDITIONAL PAID-IN CAPITAL
Balance, beginning of period $1,020,658 $1,014,911
Add: Excess over par value of common
stock issued 75,645 13,490
Less: Cost of treasury stock acquired,
less amounts charged to retained
earnings 148 22,184
---------- ----------
Balance, end of period $1,096,155 $1,006,217
========== ==========
The accompanying notes are an integral part of these statements.
-5-
<PAGE>
AMERICAN HOME PRODUCTS CORPORATION AND SUBSIDIARIES
CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS
(In Thousands)
Three Months Ended March 31,
1995 1994
---------- ----------
Operating Activities
- --------------------
Net income................................... $1,022,620 $ 415,800
Adjustments to reconcile net income to net
cash provided from/(used for) operating
activities:
Gain on sale of oral health care business.. (959,845) -
Depreciation and amortization.............. 169,588 64,842
Deferred income taxes...................... (27,202) 10,863
Changes in working capital, net............ (480,634) (94,643)
Other items, net........................... 218,493 (74,827)
---------- ----------
Net cash provided from/(used for)
operating activities....................... (56,980) 322,035
---------- ----------
Investing Activities
- --------------------
Purchases of property, plant and equipment... (163,049) (87,133)
Sale/(acquisition) of businesses for cash,net
of cash.................................... 1,033,559 (22,238)
Proceeds of marketable securities, net....... 2,968 2,156
Proceeds from sales of other assets.......... 58,200 1,239
---------- ----------
Net cash provided from/(used for)
investing activities....................... 931,678 (105,976)
---------- ----------
Financing Activities
- --------------------
Dividends paid............................... (229,829) (226,510)
Net repayments of debt....................... (1,371,090) (644)
Purchases of treasury stock.................. (1,356) (178,404)
Exercise of stock options.................... 69,480 9,735
---------- ----------
Net cash used for financing activities....... (1,532,795) (395,823)
---------- ----------
Effects of exchange rates on cash balances... 8,765 3,113
---------- ----------
Decrease in cash and cash equivalents........ (649,332) (176,651)
Cash and cash equivalents, beginning
of period.................................. 1,696,204 1,936,834
---------- ----------
Cash and cash equivalents, end of period..... $1,046,872 $1,760,183
========== ==========
The accompanying notes are an integral part of these statements.
Supplemental Information
- ------------------------
Interest payments $ 204,548 $ 12,823
Income tax payments 249,516 141,630
-6-
<PAGE>
AMERICAN HOME PRODUCTS CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED CONDENSED FINANCIAL STATEMENTS
Note 1. In January 1995, the Company sold its South American
oral health care business for approximately $1.04
billion. The net proceeds from the sale were used
primarily to reduce the debt relating to the Cyanamid
acquisition. Other (income) expense, net, for the
first quarter of 1995 includes a pre-tax gain of $959.8
million related to the sale. Net income and net income
per share for the first quarter of 1995 include an
after-tax gain of $623.8 million or $2.03 per share
related to this transaction.
-7-
<PAGE>
Management's Discussion and Analysis of Financial Condition
and Results of Operations
Three Months Ended March 31, 1995
Results of Operations
- ---------------------
Effective December 1, 1994, the Company completed the acquisition
of American Cyanamid Company (Cyanamid). As a result,
significant variations exist when the first quarter of 1995 is
compared to the first quarter of 1994 since the Company's
operating results for the first quarter of 1995 reflect
Cyanamid's operating results and related acquisition interest
expense and goodwill amortization. Accordingly, management's
discussion and analysis of results of operations for the first
quarter of 1995 has been presented, for the most part, on a "pro
forma basis" assuming the Cyanamid acquisition had taken place on
January 1, 1994.
Assuming the American Cyanamid acquisition had taken place as of
January 1, 1994, and excluding the sales of businesses disposed
of in 1994 and 1995, consolidated net sales would have increased
7% for the first quarter of 1995 on a pro forma basis. This
increase is comprised of unit volume growth of 3%, price
increases of 2% and favorable foreign exchange of 2%. Pro forma
health care product segment sales would have increased 4%,
agricultural product sales would have increased 31% and food
product sales would have decreased 9% in the first quarter of
1995 over the prior year amounts.
The following table sets forth net sales results by major product
category and business segment together with percentage changes of
the reported and pro forma net sales:
Three Months As Reported Pro Forma
($ in Millions) Ended March 31, %Increase %Increase
Net Sales to Customers 1995 1994 (Decrease) (Decrease)
- ---------------------- -------- -------- ---------- ---------
Health Care Products
Pharmaceuticals $1,954.2 $1,272.8 54% 7%
Consumer Health Care 477.6 444.0 8% (6)%
Medical Supplies and
Diagnostics 282.2 215.7 31% 6%
-------- --------
Total Health Care 2,714.0 1,932.5 40% 4%
Agricultural Products 584.9 - - 31%
Food Products 192.1 211.5 (9)% (9)%
-------- --------
Consolidated Net Sales $3,491.0 $2,144.0 63% 7%
======== ========
The following sales variation explanations by business lines are
presented on a pro forma basis:
-8-
<PAGE>
Management's Discussion and Analysis of Financial Condition
and Results of Operations
Three Months Ended March 31, 1995
Worldwide pharmaceutical sales would have increased 7% for
the 1995 first quarter. U.S. pharmaceutical sales would
have been level with 1994 first quarter results as unit
volume decreases of 2% were offset by price increases of 2%.
Growth in the U.S. attributable to increased sales of
PREMARIN, including the launch of PREMPRO and PREMPHASE,
anti-inflammatory and oral contraceptive products, and
Genetics Institute, Inc.'s recombinant antihemophilic factor
(rAHF) was offset by lower sales of NORPLANT, ATIVAN,
SUPRAX, vaccines, and cardiovascular and infant nutritional
products. International pharmaceutical sales would have
increased 18% for the 1995 first quarter due to increased
sales of infant nutritional products, PREMARIN, oral
contraceptives, veterinary products, and TAZOCIN, the launch
of LANSOPRAZOLE in the U.K., and favorable foreign exchange
rates. The increase in international pharmaceutical sales
consisted of unit volume growth of 8%, price increases of 4%
and favorable foreign exchange of 6%.
Worldwide consumer health care sales would have decreased 6%
versus 1994 first quarter results. U.S. consumer health
care sales would have decreased 12% for the 1995 first
quarter due to decreases in the analgesics, cough/cold,
vitamins and asthma relief product lines. The decrease was
due primarily to the timing of certain promotional programs,
particularly in the analgesics and cough/cold product lines,
and consisted of unit volume decreases of 14% partially
offset by price increases of 2%. International consumer
health care sales would have increased 15% for the 1995
first quarter due primarily to increased sales of analgesics
and vitamins, and favorable foreign exchange rates. The
increase in international consumer health care sales
consisted of unit volume growth of 9%, price increases of 3%
and favorable foreign exchange of 3%.
Worldwide medical supplies and diagnostic product sales
would have increased 6%. U.S. medical sales would have
increased 4% in the 1995 first quarter due primarily to unit
volume growth of tubes and catheters, tympanic thermometry
products, and surgical devices, offset, in part, by the
discontinuation of the Davis & Geck endosurgery product
line. International medical sales would have increased 10%
due principally to sales growth in tubes and catheters, and
tympanic thermometry products, as well as favorable foreign
exchange rates. The increase in international medical sales
consisted of unit volume growth of 5% and favorable foreign
exchange of 8% which were partially offset by price
decreases of 3%.
-9-
<PAGE>
Management's Discussion and Analysis of Financial Condition
and Results of Operations
Three Months Ended March 31, 1995
Worldwide agricultural product sales would have increased
31% in the 1995 first quarter. U.S. sales would have
increased 8% due primarily to higher sales of PURSUIT, PROWL
and SCEPTER herbicides due, in part, to favorable weather
conditions in the U.S. which allowed for early shipments in
advance of anticipated plantings. The increase in U.S.
agricultural sales consisted of unit volume growth of 7% and
price increases of 1%. International sales would have
increased 87% due primarily to the effect of the acquisition
of the international crop protection business from Shell,
higher sales of PURSUIT, PROWL and SCEPTER herbicides, and
favorable foreign exchange rates. On a pro forma basis, the
increase in international agricultural product sales
consisted of unit volume growth of 75%, price increases of
1% and favorable foreign exchange of 11%. Due to the
seasonality of the Agricultural Products business, which is
concentrated primarily in the first six months of the year,
Agricultural Products sales and results of operations in the
first quarter of 1995 may not be indicative of the results
to be expected in subsequent fiscal quarters or for the full
year.
Sales of food products decreased 9% in the first quarter due
principally to decreased sales of PAM, CHEF BOYARDEE canned
pasta and POLANER due primarily to the timing and extent of
trade incentives and product introductions. The decrease in
sales of food products consisted of unit volume decreases of
11% which were partially offset by price increases of 2%.
The table below presents comparative first quarter net sales by
geographic segments. On a pro forma basis, the increase in
foreign geographic segments, in particular, Europe and Africa, is
due primarily to higher international sales of pharmaceutical and
agricultural products, as well as favorable foreign exchange
rates.
Three Months As Reported Pro Forma
($ in Millions) Ended March 31, %Increase %Increase
Net Sales to Customers 1995 1994 (Decrease) (Decrease)
- ---------------------- -------- -------- ---------- ----------
U.S. $2,170.3 $1,494.6 45% (2)%
Canada and Latin America 336.9 231.1 46% 18%
Europe and Africa 736.7 293.0 151% 28%
Asia and Australia 247.1 125.3 97% 30%
-------- --------
Consolidated Net Sales $3,491.0 $2,144.0 63% 7%
======== ========
On a pro forma basis, cost of goods sold, as a percentage of net
sales, increased to 35.7% in the first quarter of 1995 versus
34.0% in the first quarter of 1994 due primarily to a change in
-10-
<PAGE>
Management's Discussion and Analysis of Financial Condition
and Results of Operations
Three Months Ended March 31, 1995
product mix related to products acquired from Cyanamid,
principally international crop protection products.
On a pro forma basis, selling, administrative and general
expenses, as a percentage of net sales, decreased to 35.7% in the
first quarter of 1995 compared to 36.5% in the first quarter of
1994 due primarily to lower selling and marketing expenses.
Research and development expense of $320.2 million in the 1995
first quarter is comparable to the prior year amount on a pro
forma basis.
Income before taxes increased in the first quarter of 1995
compared to the first quarter of 1994 due primarily to the pre-
tax gain of $959.8 million on the sale of the South American oral
health care business in January 1995. In the segment tables
below, $814.9 million of this gain is included in Health Care
Products and Canada and Latin America; the remaining $144.9
million is included in Corporate and United States. Excluding
this gain, income before taxes would have been $566.8 million in
the first quarter of 1995 versus $577.5 million in 1994.
Cyanamid's income before taxes for the first quarter of 1995 was
more than offset by acquisition related interest expense and
goodwill amortization. These charges have been included in
Corporate and United States in the segment tables below until the
evaluation of fair values is finalized.
Three Months
($ in Millions) Ended March 31,
Income Before Taxes 1995 1994
- ------------------- -------- ------
Health Care Products $1,433.7 $542.3
Agricultural Products 143.5 -
Food Products 10.6 20.7
Corporate (61.2) 14.5
-------- ------
Consolidated Income Before Taxes $1,526.6 $577.5
======== ======
Three Months
($ in Millions) Ended March 31,
Income Before Taxes 1995 1994
- ------------------- -------- ------
United States $ 479.6 $432.0
Canada and Latin America 884.9 65.6
Europe and Africa 120.8 58.7
Asia and Australia 41.3 21.2
-------- ------
Consolidated Income Before Taxes $1,526.6 $577.5
======== ======
-11-
<PAGE>
Management's Discussion and Analysis of Financial Condition
and Results of Operations
Three Months Ended March 31, 1995
Net income and net income per share increased for the 1995 first
quarter compared to last year due to the after-tax gain on the sale of
the oral health care business of $623.8 million or $2.03 per share.
Excluding this gain, net income and net income per share would have
been $398.8 million or $1.30 per share in 1995 versus $415.8 million
or $1.34 per share in 1994. The lower results were due to the
dilutive impact of the Cyanamid acquisition. The dilution for the
first quarter of 1995 of approximately $.09 per share may not be
indicative of the anticipated dilution in subsequent fiscal quarters
or for the full year. On a pro forma basis, net income and net income
per share in the first quarter of 1994 would have been $367.4 million
or $1.19 per share. The higher pro forma results for the first
quarter of 1995 were due primarily to increased sales of
pharmaceuticals and agricultural products.
Other (income) expense, net in the Consolidated Condensed Statements
of Income is summarized as follows:
Three Months Ended March 31,
(In thousands) 1995 1994
--------- --------
Interest Income.......... $ (42,067) $(24,485)
Interest Expense......... 183,139 16,568
Foreign exchange
and other............. (14,987) 15,963
Gain on the sale of oral
health care business.. (959,845) -
Gain on sales of other
assets................ (12,357) (4,553)
--------- --------
Total.................... $(846,117) $ 3,493
========= ========
Health Care Reform and Competition
- ----------------------------------
U.S. health care costs will continue to be a subject of debate by
the Congress in 1995. Similarly, in international markets,
health care spending is subject to increasing governmental
scrutiny, much of which is focused on pharmaceutical prices.
While the Company cannot predict the impact proposed health care
legislation will have on the Company's worldwide results of
operations, the Company believes that the pharmaceutical industry
will continue to play a very positive role in helping to contain
global health care costs through the development of innovative
products. However, it is expected that global market forces will
continue to constrain price growth throughout 1995 and beyond.
The Company is not dependent on any one patent-protected product
or line of products for a substantial portion of its revenues or
profits. However, PREMARIN, the Company's conjugated estrogens
-12-
<PAGE>
Management's Discussion and Analysis of Financial Condition
and Results of Operations
Three Months Ended March 31, 1995
product, which has not had patent protection for many years, does
contribute significantly to sales and, more significantly, to
profits. For further discussion on PREMARIN, see Item 1,
Competition of the Company's 1994 Annual Report on Form 10-K.
- -----------
Liquidity, Financial Condition and Capital Resources
- ----------------------------------------------------
Cash and cash equivalents decreased $649 million in the first
quarter of 1995 to $1.0 billion. Cash flow from the sale of
businesses and other assets of $1.1 billion and available cash
and cash equivalents were used principally for dividend payments
of $230 million, long-term debt reduction of $1.4 billion and
capital expenditures of $163 million. Due to the seasonality of
the Agricultural Products business, a significant portion of the
annual domestic sales are recorded in the first six months of the
year, however, related accounts receivable are not collected
until the second and third fiscal quarters. As a result, cash
flows from operating activities in the first quarter of 1995 are
not indicative of the results to be expected in subsequent fiscal
quarters or for the full year.
Capital expenditures included the expansion of the Company's
research and development facilities and continued strategic
investments in manufacturing/distribution facilities worldwide.
In February 1995, the Company issued, under a $3.5 billion shelf
registration statement, $1.0 billion of 7.70% notes due February
2000 and $1.0 billion of 7.90% notes due February 2005. Net
proceeds from these issuances were used to repay commercial
paper. The notes are unsecured and unsubordinated and may not be
redeemed prior to maturity. In connection with the $2.0 billion
note issue, the Company terminated $2.0 billion of interest rate
swap agreements. The effect of terminating these swap agreements
was deferred and will be amortized to interest expense over the
five- and ten-year terms of the related notes.
The Company has established aggressive objectives in order to
reduce its current debt position, including, but not limited to,
the sale of non-strategic assets. Cost savings as a result of
synergies from the Cyanamid acquisition, which began in the first
quarter of 1995, are expected to substantially increase operating
cash flows. Therefore, management is confident that the cash
flows from the combined businesses will be adequate to repay both
the principal and interest on the acquisition financing without
requiring the disposition of any significant strategic core
businesses or assets and, further, to allow the Company to
continue to fund its operations, pay dividends and maintain its
ongoing programs of capital expenditures without restricting its
ability to make further acquisitions as may be appropriate.
-13-
<PAGE>
Part II - Other Information
---------------------------
Item 1. Legal Proceedings
------------------
The Company and its subsidiaries are parties to
numerous lawsuits and claims arising out of the conduct
of its business, the most significant of which are
described in the Company's Annual Report on Form 10-K
for the year ended December 31, 1994. Additional
lawsuits have been filed alleging injuries as a result
of use of the NORPLANT SYSTEM, the Company's
implantable contraceptive containing levonorgestrel,
and there are currently pending 182 lawsuits in federal
and state courts in 32 states and the District of
Columbia. Forty-six of these cases have been filed as
class actions and the remainder are proceeding as
individual suits.
In the opinion of the Company, although the outcome of
any litigation cannot be predicted with certainty, the
ultimate liability of the Company in connection with
pending litigation will not have a material adverse
effect on the Company's financial position but could be
material to the results of operations in any one
accounting period.
Item 6. Exhibits and Reports on Form 8-K
---------------------------------
a) Exhibits
---------
Exhibit No. Description
----------- ------------
(27) Financial Data Schedule
b) Reports on Form 8-K
--------------------
The Company did not file any reports on Form 8-K
during the quarter covered by this report.
-14-
<PAGE>
Signature
---------
Pursuant to the requirements of the Securities Exchange Act of
1934, the Registrant has duly caused this report to be signed on
its behalf by the undersigned thereunto duly authorized.
AMERICAN HOME PRODUCTS CORPORATION
----------------------------------
Registrant
By /S/ John R. Considine
John R. Considine
Vice President - Finance
(Duly Authorized Signatory
and Chief Accounting Officer)
Date: May 15, 1995
-15-
<PAGE>
Exhibit Index
-------------
Exhibit No. Description
----------- -----------
(27) Financial Data Schedule
Ex-1
<PAGE>
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND> THE SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION
EXTRACTED FROM THE AMERICAN HOME PRODUCTS CORPORATION
AND SUBSIDIARIES CONSOLIDATED CONDENSED BALANCE SHEET AS
OF MARCH 31, 1995 AND CONSOLIDATED CONDENSED INCOME
STATEMENT FOR THE THREE MONTHS ENDED MARCH 31, 1995,
AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH
FINANCIAL STATEMENTS.
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-END> MAR-31-1995
<CASH> 1,046,872
<SECURITIES> 250,056
<RECEIVABLES> 2,746,449
<ALLOWANCES> 0
<INVENTORY> 2,301,982
<CURRENT-ASSETS> 7,636,002
<PP&E> 5,535,252
<DEPRECIATION> 1,685,736
<TOTAL-ASSETS> 21,500,834
<CURRENT-LIABILITIES> 4,603,976
<BONDS> 8,607,457
<COMMON> 102,451
0
90
<OTHER-SE> 5,056,379
<TOTAL-LIABILITY-AND-EQUITY> 21,500,834
<SALES> 3,491,029
<TOTAL-REVENUES> 3,491,029
<CGS> 1,245,028
<TOTAL-COSTS> 2,810,502
<OTHER-EXPENSES> (846,117)
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 1,526,644
<INCOME-TAX> 504,024
<INCOME-CONTINUING> 1,022,620
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 1,022,620
<EPS-PRIMARY> 3.33
<EPS-DILUTED> 0
</TABLE>
