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Animal health products make an important contribution to meat quality

"Animal health products safeguard porcine health and thus the quality of meat," stressed Dr. Gunnar Riemann, President of Bayer HealthCare's Animal Health Division during press talks with specialist journalists at the 18th Congress of the International Pig Veterinary Society (IPVS) in Hamburg. One example is the veterinary drug product Baycox. "With Baycox, we have once again produced pioneering work; it is the only authorized anticoccidial drug for piglet production," noted Riemann.

This product was initially only used to treat diarrhea caused by parasitic coccidial pathogens in poultry, until researchers discovered that it is equally effective in pigs. As a result, Baycox was then granted special approval in Denmark, before marketing authorization was granted for the whole of Europe in fall 2003. And the success story continues to this day: the product is currently being developed for use in the same indication in calves.

Riemann commented on the underlying conditions for research and called for a legislative climate that is more supportive to research-based companies. "Without research, there will be no new veterinary drug products," he emphasized. Important factors in this regard are that international patent protection must be upheld and the decisions of registration authorities should be taken on the basis of scientific and internationally harmonized criteria. He noted with concern that current trends seem to be running counter to these principles.

Riemann emphasized that the Animal Health Division's products make an essential contribution to economical and consumer-oriented livestock farming and food safety. "The justifiable demands for high meat quality mean that we must take every opportunity to protect animal health, including in the stable," stressed Riemann. Bayer HealthCare, as a leading research-based company, therefore provides a range of products and problem solutions for the treatment and prevention of parasites and diseases, as well as to ensure farm hygiene.

Positive business development

Bayer HealthCare's veterinary drug business continues to develop positively. With sales of EUR 790 million in 2003 and an operating result of EUR 170 million, the Animal Health Division is one of the world's leading veterinary drug manufacturers and occupies fourth place in the world rankings. Almost one half of the division's sales are generated by livestock products.

Riemann reminded the journalists that Bayer's business with animal health products has grown under its own steam in recent years. In the coming years, however, he expects only low annual growth rates of around two percent in the global market, while the companion animals business (products for dogs, cats and horses) could grow by around four percent, with Bayer HealthCare being more heavily involved in this segment. "The consolidation process in the veterinary industry will continue in the future, because the demands made on production and product quality are increasing constantly," forecast the Bayer HealthCare manager.

Baytril is the gold standard

One of the top products with sales of EUR 170 million in 2003 is Baytril, a drug product to treat infectious diseases in both livestock and companion animals. This product has been the gold standard for veterinarians for many years. Numerous scientific publications and resistance monitoring studies have confirmed practitioners' positive experiences, making Baytril the best-documented therapeutic anti-infective in veterinary medicine.

Promoting the responsible use of antibiotics is one of Bayer's top priorities. Bayer HealthCare has developed its own guidelines to promote correct use of these substances as a service to farmers and veterinarians. Riemann dismissed the U.S. Food and Drug Administration's (FDA) demand that Baytril should be withdrawn from the market for poultry, stressing that "the safety of our product has been confirmed by numerous scientific trials and external studies."

The 18th IPVS Congress was attended by more than 2,200 scientists, researchers and veterinarians who gathered to learn more about new developments in veterinary medicine under the motto " Healthy pigs for wholesome pork ". Bayer HealthCare's Animal Health Division supported the events as an official partner, and presented its solutions to problems in pig production.

About Bayer HealthCare:

Bayer HealthCare, a subgroup of Bayer AG with annual sales amounting to some EUR 8.9 billion in 2003, is one of the world's leading, innovative companies in the health care and medical products industry.

Bayer HealthCare combines the global activities of the Animal Health, Biological Products, Consumer Care, Diagnostics Professional Testing Systems, Diagnostics Self-Testing Systems and Pharmaceuticals divisions. More than 34,600 employees work for Bayer HealthCare worldwide.

Our work at Bayer HealthCare is to discover and manufacture innovative products for the purpose of improving human and animal health worldwide. Our products enhance well-being and quality of life by diagnosing, preventing and treating disease.

Forward-looking statements

This news release contains forward-looking statements based on current assumptions and forecasts made by Bayer Group management. Various known and unknown risks, uncertainties and other factors could lead to material differences between the actual future results, financial situation, development or performance of the company and the estimates given here. These factors include those discussed in our public reports filed with the Frankfurt Stock Exchange and with the U.S. Securities and Exchange Commission (including our Form 20-F). The company assumes no liability whatsoever to update these forward-looking statements or to conform them to future events or developments.

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