<PAGE> 1
--------------------------------------
OMB APPROVAL
--------------------------------------
OMB NUMBER-------------------3235-0287
EXPIRES: FEBRUARY 1, 2000
ESTIMATED AVERAGE BURDEN:
--------------------------------------
U.S. SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 4
STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP
FILED PURSUANT TO SECTION 16(a) OF THE SECURITIES
EXCHANGE ACT OF 1934, SECTION 17(a) OF THE
PUBLIC UTILITY HOLDING COMPANY ACT OF 1935
OR SECTION 30(1) OF THE INVESTMENT COMPANY
ACT OF 1940
|_| CHECK THIS BOX IF NO LONGER SUBJECT TO SECTION 16. FORM 4 OR FORM 5
OBLIGATIONS MAY CONTINUE. SEE INSTRUCTION 1(b).
- --------------------------------------------------------------------------------
1. Name and Address of Reporting Person*
Wesson Bruce
- --------------------------------------------------------------------------------
(LAST) (FIRST) (MIDDLE)
C/O HALSEY DRUG CO. 695 N. PERRYVILLE RD. BLDG. 2
- --------------------------------------------------------------------------------
(STREET)
ROCKFORD ILLINOIS 61107
- --------------------------------------------------------------------------------
(CITY) (STATE) (ZIP)
- --------------------------------------------------------------------------------
2. ISSUER NAME AND TICKER OR TRADING SYMBOL
HALSEY DRUG CO., INC. SYMBOL: HDG
- --------------------------------------------------------------------------------
3. IRS OR SOCIAL SECURITY NUMBER OF REPORTING PERSON (VOLUNTARY)
- --------------------------------------------------------------------------------
4. STATEMENT FOR MONTH/YEAR
2/99
- --------------------------------------------------------------------------------
5. IF AMENDMENT, DATE OF ORIGINAL (MONTH/YEAR)
- --------------------------------------------------------------------------------
6. RELATIONSHIP OF REPORTING PERSON TO ISSUER
[X] DIRECTOR [_] 10% OWNER
[_] OFFICER (GIVE TITLE BELOW) [_] OTHER (SPECIFY BELOW)
- --------------------------------------------------------------------------------
7. INDIVIDUAL OR GROUP FILING (CHECK APPLICABLE LINE)
[X] FORM FILED BY ONE REPORTING PERSON
[_] FORM FILED BY MORE THAN ONE REPORTING PERSON
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
TABLE I-- NON-DERIVATIVE SECURITIES ACQUIRED, DISPOSED OF, OR BENEFICIALLY OWNED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
6.
4. 5. OWNER-
3. SECURITIES ACQUIRED (A) AMOUNT OF SHIP
2. TRANS- OR DISPOSED OF (D) SECURITIES FORM: 7.
TRANS ACTION (INSTR. 3, 4, AND 5) BENEFICIALLY DIRECT NATURE OF
ACTION CODE ------------------------ OWNED AT END (D) OR IN-DIRECT
1. DATE (INSTR. 8) (A) OF MONTH INDIRECT BENEFICIAL
TITLE OF SECURITY (MONTH/DAY/ ------------ AMOUNT OR PRICE (INSTR. 3 (I) OWNERSHIP
(INSTR. 3) YEAR) CODE V (D) AND 4) (INSTR. 4) (INSTR. 4)
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
NONE
- -----------------------------------------------------------------------------------------------------------------------------------
- -----------------------------------------------------------------------------------------------------------------------------------
- -----------------------------------------------------------------------------------------------------------------------------------
- -----------------------------------------------------------------------------------------------------------------------------------
- -----------------------------------------------------------------------------------------------------------------------------------
- -----------------------------------------------------------------------------------------------------------------------------------
- -----------------------------------------------------------------------------------------------------------------------------------
- -----------------------------------------------------------------------------------------------------------------------------------
- -----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
REMINDER: REPORT ON A SEPARATE LINE FOR EACH CLASS OF SECURITIES
BENEFICIALLY OWNED DIRECTLY OR INDIRECTLY.
* IF THIS FORM IS FILED BY MORE THAN ONE PERSON, SEE INSTRUCTION
4(b)(v)
(OVER)
SFC 1474 (3/91)
<PAGE> 2
FORM 4 (CONTINUED)
TABLE II - DERIVATIVE SECURITIES ACQUIRED, DISPOSED OF, OR BENEFICIALLY OWNED
(E.G., PUTS, CALLS, WARRANTS, OPTIONS, CONVERTIBLE SECURITIES)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11.
TITLE CONVER- TRANS- TRANS NUMBER OF DATE EXERCISABLE TITLE AND PRICE NUMBER OWNER- NATURE
OF DER- SION OR ACTION ACTION DERIVATIVE AND EXPIRATION AMOUNT OF OF OF DERIV- SHIP OF IN-
IVATIVE EXERCISE DATE CODE SECURITIES DATE UNDERLYING DERIVATIVE ATIVE FORM DIRECT
SECURITY PRICE OF (INSTR. ACQUIRED (MONTH/DAY/ SECURITIES SECURITY SECUR- OF DE- BENEFICAL
(INSTR. DERIV- (MONTH/ 8) (A) OR YEAR) (INSTR. 3 (INSTR. 5) ITIES BENE- RIVATIVE OWN-
3) ATIVE DAY/ DISPOSED AND 4) FICIALLY SECURITY: ERSHIP
SECURITY YEAR) OF (D) -------------------------------- OWNED DIRECT (INSTR.4)
(INSTR. 3, AT END OF (D) OR
4, AND 5) MONTH INDIRECT
------------------- (INSTR. 4) (I)
(INSTR.4)
TITLE AMOUNT
DATE EXPIR- OR
EXER- ATION NUMBER
CODE V (A) (D) CISABLE DATE OF
SHARES
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
NON- $1.225 2/18/99 A 10,000 (1) 2/19/09 COMMON 10,000 20,000 D
QUALI- STOCK
FIED
STOCK
OPTIONS
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
EXPLANATION: (1) OPTIONS VEST OVER TWELVE (12) MONTHS: 2,500 ON 5/18/99; 2,500
ON 8/18/99; 2,500 ON 11/18/99 AND FINAL 2,500 OPTIONS ON 2/18/00.
/S/ BRUCE F. WESSON MARCH 18, 1999
----------------------------- --------------
SIGNATURE OF REPORTING PERSON DATE
Intentional misstatements or omissions of facts constitute Federal Criminal
Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
NOTE: FILE THREE COPIES OF THIS FORM, ONE OF WHICH MUST BE MANUALLY SIGNED. IF
SPACE PROVIDED IS INSUFFICIENT, SEE INSTRUCTION 6 FOR PROCEDURE. POTENTIAL
PERSONS WHO ARE TO RESPOND TO THE COLLECTION OF INFORMATION CONTAINED IN THIS
FORM ARE NOT REQUIRED TO RESPOND UNLESS THE FORM DISPLAYS A CURRENTLY VALID OMB
NUMBER.
