Pharmacia Corporation Reports 19% Increase in First-Quarter Earnings-Per-Share

* Prescription pharmaceutical sales increase 15% in the first quarter,

driven by sales of key growth drivers

- Celebrex sales increase to $649 million (+24%)

- Xalatan records sales of $200 million (+24%)

- Camptosar sales reach $137 million (+72%)

- Detrol LA/Detrol records sales of $135 million (+35%)

* Earnings driven by strong sales growth and merger cost synergies

- Pharmaceutical earnings increase 27%, Ag earnings rise 1%



Other Developments:



* New Drug Application (NDA) submitted in the United States for

valdecoxib, second generation oral COX-2 inhibitor

* Once-daily Detrol LA, launched in U.S., and approved in first European

Union market (Sweden)

* Acquisition of rheumatoid arthritis compound from Celltech Group Plc

further strengthens Pharmacia's leading arthritis portfolio



Financial summary First First

($ millions except Quarter Quarter

per share amounts) 2001 2000 % change



Pharmaceutical Sales * $3,210 $2,851 13%

Agricultural Sales $1,306 $1,321 (1)%

Total Sales* $4,516 $4,172 8%

Earnings from Continuing Ops

(as adjusted - see Consolidated

Statement of Earnings) $423 $354 19%

Diluted Net Earnings Per Share

(as reported) $0.19 $(0.14) N/A

Diluted Net Earnings Per Share

(as adjusted - see Consolidated

Statement of Earnings) $0.32 $0.27 19%



Year-to-year growth rates are affected by certain items that affect

comparability.

See discussion in Results of Operations section.



*Includes $6 related to business divested in first quarter 2000



Apr 25, 2001, 01:00 ET from Pharmacia Corporation

    PEAPACK, N.J., April 25 /PRNewswire/ -- Pharmacia Corporation (NYSE:   PHA)
 today reported financial results for the first quarter ended March 31, 2001 as
 follows:
 
     Sales
 
     Net sales for the company's pharmaceutical businesses were $3.2 billion in
 the first quarter, a 13% increase over the first quarter of 2000.
 Agricultural sales were $1.3 billion, a 1% decrease.  On a combined basis,
 total sales were $4.5 billion, an increase of 8% over the first quarter of
 2000.
     On a consolidated basis, foreign exchange had a 3% unfavorable impact on
 sales in the quarter due to weaker currencies in Europe and Japan.
 
     Earnings
 
     On an adjusted basis, Pharmacia earnings were $423 million (32 cents per
 share), a 19% increase over the first quarter of 2000.  On a reported basis,
 net earnings were $250 million (19 cents per share) compared to a loss of
 $171 million (14 cents per share) in the first quarter of 2000.  Reported
 results for the first quarter of 2001 include approximately $145 million
 (8 cents per share) in restructuring and merger-related costs.
     On an adjusted basis, earnings from pharmaceutical businesses in the first
 quarter of 2001 increased 27% to $365 million before Pharmacia's minority
 interest in the Monsanto subsidiary.  On an adjusted basis, earnings for the
 agricultural business in the first quarter of 2001 improved 1% to $68 million.
     In addition, the company completed its acquisition of Sensus Drug
 Development Corporation and signed a co-development and co-promotion agreement
 with Celltech Group plc for a new rheumatoid arthritis compound.  As
 previously announced, these transactions resulted in special charges totaling
 5 cents per share in the first quarter.
     "We are very pleased with our first quarter results and the continuing
 strong performance of our pharmaceutical business," said Pharmacia Chairman
 and Chief Executive Officer Fred Hassan.  "After our first full year as a new
 company, we can say with confidence that we have delivered the top tier
 performance that we promised, while positioning Pharmacia for strong, long
 term growth.  We have done so by focusing intently on revenue generation,
 while achieving our planned merger synergies and cutting costs."
 
     Performance of Pharmaceutical Businesses
 
      US $(millions)                       First Quarter 2001    Q1 % Change
 
     Total Pharmaceutical Sales                        $3,210            13%
     Key Rx Products:
     Celebrex                                            $649            24%
     Ambien                                              $215           114%
     Xalatan                                             $200            24%
     Camptosar                                           $137            72%
     Detrol LA/Detrol                                    $135            35%
     Genotropin                                          $117             4%
 
     Pharmaceutical sales growth in the first quarter was driven by a 18%
 increase in U.S. prescription sales.  On a global basis, prescription sales
 increased 15%, 19% excluding the impact of exchange.
     Celebrex, the number-one selling arthritis medication, had sales of
 $649 million in the quarter.  Sales outside the U.S. increased to $180 million
 driven by the successful launch of Celebrex in key European markets.  In the
 U.S., sales for the quarter were impacted by trade purchasing which took place
 in the fourth quarter in advance of a price increase.
     Xalatan, the world's top selling branded glaucoma medication, continued to
 grow in all major markets.  Sales were $200 million in the first quarter, an
 increase of 24% over prior year.  Xalatan is the number one prescribed
 glaucoma medication in the U.S., Europe and Japan. Sales of Xalatan outside
 the U.S. continue to account for more than 50% of worldwide sales.
     Sales of Camptosar were $137 million in the first quarter, a 72% increase
 over the first quarter of 2000.  Camptosar received FDA approval in 2000 for
 first-line treatment of metastatic colorectal cancer.  First-line use now
 accounts for more than half of sales.  A Camptosar-containing regimen
 represents a standard of care for patients with metastatic colorectal cancer
 based on its demonstrated survival benefit.
     Detrol LA/Detrol, recorded sales of $135 million in the first quarter.
 Sales in the U.S. were $105 million reflecting strong demand for the new,
 once-daily Detrol LA which Pharmacia introduced in January.  The launch of
 Detrol LA has increased Pharmacia's share of new prescriptions in the
 overactive bladder market from 47% at the end of 2000 to 53% in the first
 quarter.  Detrol LA also received approval in Sweden under the Mutual
 Recognition procedure during the first quarter where it will be marketed as
 Detrusitol SR.
     Sales of Genotropin, the world's leading growth hormone increased 4% to
 $117 million.  In the U.S., sales increased 19% in the first quarter driven by
 new patient starts in pediatric and adult patients with growth hormone
 deficiency and in patients with Prader Willi Syndrome.  Outside the U.S.,
 volume gains were offset by weaker currencies in Europe and Japan.
     Zyvox, the company's new antibiotic for severe Gram-positive infections,
 recorded sales of $23 million in the first quarter.  The company launched
 Zyvox in the United Kingdom, its first European market, in February and
 received regulatory approval in Japan earlier this month.
     Sales of Ambien, the leading brand for insomnia in the U.S., increased
 114% to $215 million in the quarter.  Sales growth was impacted by trade
 purchasing in advance of a price increase in March.
 
     Other Pharmaceutical Businesses
 
     Sales in the other pharmaceutical businesses, which include Pharmacia's
 Consumer Healthcare, Animal Health, and Diagnostics businesses, increased
 1% during the quarter, 5% excluding the impact of currency.  Consumer
 Healthcare sales increased 9%, while sales in the Animal Health business were
 up 14% based in part on a renewed focus on the key brand Naxcel/Excenel.
 
     Performance of Agricultural Business
 
     Sales for Monsanto Company, the agricultural subsidiary of Pharmacia,
 decreased 1 percent, to $1.3 billion, in the first quarter.  Global sales of
 Roundup herbicide were down 8 percent, with an increase in U.S. sales more
 than offset by lower sales in other markets.  Sales of seeds and biotechnology
 traits were up 2 percent with trait revenue driving the improvement as
 compared with first-quarter 2000 sales.
 
     Results of Operations
 
     Pharmacia Corporation's gross margin improved 2 percentage points in the
 first quarter to 68%, driven by improved margins in the pharmaceutical
 business.
     Selling, General & Administrative (SG&A) expenses increased 2 percentage
 points to 38% of sales in the first quarter reflecting investments in European
 launches of Celebrex as well as the impact of co-promotion and other payments
 related to Celebrex.  Research & Development expenses decreased 3 percentage
 points to 14% of sales in the first quarter vs. the year-earlier period.  As
 previously communicated, R&D spending for the full year will be approximately
 15% of sales.
     All Other Net was an expense of $17 million in the quarter compared with
 income of $59 million due in part to increased payments to Sanofi-Synthelabo
 in connection with the U.S. marketing agreement for Ambien.  All Other Net
 comparisions also reflect a one-time gain in the first quarter of 2000 from
 the divestment of the Nutrition business in China.
     The company's overall estimated annual effective tax rate is 29% excluding
 merger and restructuring and certain other items.
 
     Other Developments
 
     During the quarter, the company submitted a New Drug Application (NDA) to
 the U.S. Food and Drug Administration (FDA) for valdecoxib for the treatment
 of acute pain, dysmenorrhea, osteoarthritis and rheumatoid arthritis.
 Valdecoxib is an oral, second-generation COX-2 specific inhibitor and the
 third product to emerge from Pharmacia's leading COX-2 research effort.
     Earlier this month, the company announced receipt of an approvable letter
 from FDA for the supplemental NDA it has submitted seeking changes to the
 prescribing information for Celebrex to include results of the Celecoxib
 Long-term Arthritis Safety Study (CLASS).  An approvable letter does not
 constitute formal approval of an application, but indicates FDA's willingness
 to approve an application should specific information and/or conditions be
 met.
     In March, Pharmacia and Celltech Group plc announced an agreement for the
 co-development and co-promotion of Celltech's proprietary compound CDP 870.
 CDP 870 belongs to a new therapeutic class of medicines which show promise in
 certain autoimmune and inflammatory diseases.  CDP 870 is being developed as a
 new treatment for rheumatoid arthritis.
     Pharmacia also announced in March the acquisition of Sensus Drug
 Development Corporation, a privately held Texas-based company.  Pharmacia
 completed the acquisition following the submission of an NDA by Sensus for
 Somavert, an investigational treatment for acromegaly.
 
     Pharmacia Corporation (NYSE:   PHA) is a top-tier global pharmaceutical
 company with a leading agricultural subsidiary.  Pharmacia's innovative
 medicines and other products save lives and enhance health and wellness.
 Pharmacia's 59,000 people work together with many diverse stakeholders to
 bring these benefits to people around the world, and to create new health
 solutions for the future.
     Among Pharmacia's many important innovations is Celebrex, the world's
 leading prescription arthritis medicine.
 
     Certain statements contained in these comments are "forward-looking
 statements" provided under the "safe harbor" protection of the Private
 Securities Litigation Reform Act of 1995.  Examples of forward-looking
 statements are anticipated financial results, financial projections, business
 prospects, future product performance, future research and development
 results, Expected regulatory actions and other matters that are not historical
 facts.  These forward-looking statements are based on the information
 available, and the expectations and assumptions deemed reasonable by the
 Company, at the time when the statements are made.  However, because these
 forward-looking statements are subject to many risks, uncertainties and
 changes over time, actual results may differ materially from those expressed
 or implied by such forward-looking statements.  Among the many factors that
 may cause or contribute to actual results being materially different from
 those expressed or implied by such forward-looking statements are
 acquisitions, divestitures, mergers, licenses or strategic initiatives that
 change the Company's structure or business; competitive effects from current
 and new products, including generic products, sold by other companies; price
 constraints imposed by managed care groups, institutions and government
 agencies; governmental actions to provide lower cost pharmaceutical products;
 the Company's ability to continue to discover and license new compounds,
 develop product candidates, obtain regulatory approvals and market new
 products; the Company's ability to secure and defend its intellectual property
 rights; the Company's ability to attract and retain management and other key
 employees; product developments, including adverse reactions or regulatory
 actions; social, legal and political developments, especially those relating
 to health care reform, pharmaceutical pricing and governmental and public
 acceptance of biotechnology; unusual seasonal conditions in agricultural
 markets; new product, antitrust, intellectual property or environmental
 liabilities; changes in foreign currency exchange rates or general economic or
 business conditions; changes in applicable laws and regulations; changes in
 accounting standards or practices; and such other factors that may be
 described in Company filings with the U.S. Securities and Exchange Commission.
 
 
     GEOGRAPHIC PHARMACEUTICAL SALES (US$ in millions, unaudited)
     First Quarter
 
                               First Quarter               %      % Change
                                        2001          Change     Excluding
                                                                  Currency
 
     United States                   $ 1,671             13%           13%
     Japan                              $194            (7)%            3%
     Italy                              $142              4%           11%
     France                             $141             57%           68%
     Germany                            $126             16%           24%
     United Kingdom                     $119             17%           26%
     Rest of World                      $817             14%           22%
     Net Sales                       $ 3,210             13%           17%
 
     SALES BY BUSINESS (US$ in millions, unaudited)
     First Quarter
 
                      First Quarter 2001   First Quarter 2000     % Change
                                                                  Net Sales
 
     US                 Total         US   Total       US     Total
     Total Pharma      $1,671     $3,210  $1,484   $2,851       13%      13%
     Total Ag            $876     $1,306    $776   $1,321       13%     (1)%
     Total
      Pharmacia Corp.  $2,547     $4,516  $2,260  $ 4,172       13%       8%
 
 
     PHARMACIA CORPORATION CONSOLIDATED STATEMENT OF EARNINGS (unaudited) - for
     the first quarter ended March 31, 2001
     ($s in millions, except diluted per-share data):
 
                               First Quarter   First Quarter             %
                                        2001            2000        Change
 
     Net sales                        $4,516          $4,172            8%
     Cost of product sold              1,441           1,404            3%
     Research & development(1)           747             695            7%
     Selling, general
      & administrative(2)              1,723           1,602            8%
     Amortization of goodwill             61              57            7%
     All other, net                       17            (59)           N/A
     Merger & restructuring(3)           145             461         (69%)
     Earnings before
      interest and taxes (EBIT)          382              12           N/A
     Interest expense, net                43              68         (37%)
     Earnings before income taxes        339            (56)           N/A
     Provision for income taxes           77            (25)           N/A
     Minority Interest of subsidiaries,
      net of tax(4)                        8              --           N/A
     Earnings from
      continuing operations(5)           254            (31)           N/A
     Gain (loss) on sale of discontinued
     Operations, net of taxes            (5)              58           N/A
     Earnings before cumulative
      effect of accounting change,
      net of tax                         249              27           N/A
     Cumulative effect of accounting
      change, net of tax                   1           (198)           N/A
     Net earnings                        250           (171)           N/A
     Earnings per common share:
     Diluted - Earnings from continuing
      operations                        $.19          $(.03)           N/A
     Diluted - Net Earnings             $.19          $(.14)           N/A
     Total shares - diluted
      (in millions)                    1,328           1,286           N/A
 
     (1) First quarter 2001 includes a $67 ($42 net of tax or 3 cents per
         share) charge associated with the Sensus purchase acquisition, and $50
         ($31 net of tax or 2 cents per share) related to an upfront R&D
         payment for the compound CDP 870 agreement with Celltech Group plc.
     (2) First quarter 2000 includes $100 ($62 net of tax or 5 cents per share)
         charitable contribution.
     (3) First quarter 2001 charges are $145 ($98 net of tax or 8 cents per
         share) and 2000 charges are $461 ($323 net of tax or 25 cents per
         share).
     (4) Excluding Monsanto's restructuring activities, Minority Interest of
         subsidiaries, net of tax would be $10
     (5) Earnings from continuing operations for first quarter 2000 have been
         restated for the effect of SAB 101 resulting in a reduction of $114
         from the amount previously reported ($120 decrease in sales, $1
         decrease in cost of sales, and $5 decrease in R&D). The net of tax
         impact is $71.
 
 
     PHARMACIA CORPORATION OPERATIONS EXCLUDING AGRICULTURAL (unaudited) - for
     the first quarter ended March 31, 2001
     ($s in millions, except diluted per-share data):
 
                               First Quarter   First Quarter             %
                                        2001            2000        Change
 
     Net sales                        $3,210          $2,851           13%
     Cost of product sold                742             716            4%
     Research & development(1)           613             550           11%
     Selling, general
      & administrative(2)              1,413           1,279           11%
     Amortization of goodwill             30              28            8%
     All other, net                       13            (68)           N/A
     Merger & restructuring              124             465         (73%)
     Earnings before
      interest and taxes (EBIT)          275           (119)           N/A
     Interest expense, net                24               7          217%
     Earnings before income taxes        251           (126)           N/A
     Provision for income taxes           44            (52)           N/A
     Minority Interest of subsidiaries,
      net of tax(3)                        8              --           N/A
     Earnings from continuing
      operations(4)                      199            (74)           N/A
 
     Depreciation and amortization are $155 for first quarter 2001.
 
     (1) First quarter 2001 includes a $67 ($42 net of tax or 3 cents per
         share) charge associated with the Sensus purchase acquisition, and $50
         ($31 net of tax or 2 cents per share) related to an upfront payment
         for the compound CDP 870 agreement with Celltech Group plc.
     (2) First quarter 2000 includes $100 ($62 net of tax or 5 cents per share)
         charitable contribution.
     (3) Excluding Monsanto's restructuring activities, Minority Interest, net
         of tax would be $10.
     (4) Earnings for first quarter 2000 have been restated for the effect of
         SAB 101 resulting in a reduction of $5 from the amount previously
         reported ($3 net of tax with no per share impact).
 
 
     PHARMACIA CORPORATION AGRICULTURAL OPERATIONS
     (unaudited) - for the first quarter ended March 31, 2001
     ($s in millions):
 
                               First Quarter   First Quarter             %
                                        2001            2000        Change
 
     Net sales                        $1,306          $1,321          (1%)
     Cost of product sold                699             688            2%
     Research & development              134             145          (8%)
     Selling, general & administrative   310             323          (4%)
     Amortization of goodwill             31              29            6%
     All other, net                        4               9         (55%)
     Merger & restructuring               21             (4)           N/A
     Earnings before interest
      and taxes (EBIT)                   107             131         (18%)
     Interest expense, net                19              61         (68%)
     Earnings before income taxes         88              70           25%
     Provision for income taxes           33              27           23%
 
     Earnings from continuing
      operations(1)                       55              43           28%
 
     Depreciation and amortization are $137 for the first quarter 2001.
 
     (1) Earnings from continuing operations for first quarter 2000 have been
         restated for the effect of SAB 101 resulting in a reduction of $119
         from the amount previously reported ($120 decrease in sales and $1
         decrease in cost of sales).  The net of tax impact is $74.
 
 
     KEY PHARMACEUTICAL PRODUCT SALES  (US$ in millions, unaudited)
     First Quarter
 
                         First Quarter      First Quarter       Q1 % Change
                              2001                2000
 
                           US      Total      US    Total        US    Total
     Celebrex            $469       $649    $473     $525      (1%)      24%
     Ambien              $214       $215     $99     $100      114%     114%
     Xalatan              $98       $200     $86     $161       14%      24%
     Camptosar           $125       $137     $73      $80       71%      72%
     Detrol LA/Detrol    $105       $135     $76     $101       38%      35%
     Genotropin           $24       $117     $21     $113       19%       4%
     Xanax                $23        $76     $30      $84     (24%)    (10%)
     Cleocin              $31        $75     $32      $80      (2%)     (7%)
     Medrol               $26        $72     $14      $66       84%       8%
     Nicorette Line       $19        $66     $18      $55        5%      20%
     Depo-Provera         $50        $65     $44      $56       12%      17%
     Pharmorubicin
      /Ellence            $ 9        $60     $ 1      $50      788%      18%
     Fragmin              $11        $53     $ 9      $58       26%     (9%)
     Arthrotec            $18        $45     $28      $55     (36%)    (20%)
     Aldactone/Spiro Line $ 3        $42     $ 6      $44     (56%)     (6%)
     Mirapex              $29        $39     $26      $30       14%      28%
     Cabaser/Dostinex     $10        $37     $ 7      $25       37%      50%
     Rogaine              $26        $34     $24      $32       11%       8%
     Pletal               $25        $26     $ 9      $ 9      191%     184%
     Zyvox                $21        $23      --       --       N/A      N/A
 
     PHARMACEUTICAL SALES BY BUSINESS (US$ in millions, unaudited)
     First Quarter
 
                      First Quarter 2001   First Quarter 2000      % Change
                                                                   Net Sales
 
     US                 Total         US   Total       US     Total
     TOTAL RX Pharma   $1,481     $2,729  $1,257   $2,374       18%      15%
     Consumer Health      $79       $179     $78     $165        1%       9%
     Animal Health        $58       $113     $51     $100       13%      14%
     Misc. Pharma         $53       $189     $98     $212     (46%)    (11%)
     TOTAL OTHER Pharma  $190       $481    $227     $477     (16%)       1%
     TOTAL PHARMA      $1,671     $3,210  $1,484   $2,851       13%      13%
 
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SOURCE Pharmacia Corporation
    PEAPACK, N.J., April 25 /PRNewswire/ -- Pharmacia Corporation (NYSE:   PHA)
 today reported financial results for the first quarter ended March 31, 2001 as
 follows:
 
     Sales
 
     Net sales for the company's pharmaceutical businesses were $3.2 billion in
 the first quarter, a 13% increase over the first quarter of 2000.
 Agricultural sales were $1.3 billion, a 1% decrease.  On a combined basis,
 total sales were $4.5 billion, an increase of 8% over the first quarter of
 2000.
     On a consolidated basis, foreign exchange had a 3% unfavorable impact on
 sales in the quarter due to weaker currencies in Europe and Japan.
 
     Earnings
 
     On an adjusted basis, Pharmacia earnings were $423 million (32 cents per
 share), a 19% increase over the first quarter of 2000.  On a reported basis,
 net earnings were $250 million (19 cents per share) compared to a loss of
 $171 million (14 cents per share) in the first quarter of 2000.  Reported
 results for the first quarter of 2001 include approximately $145 million
 (8 cents per share) in restructuring and merger-related costs.
     On an adjusted basis, earnings from pharmaceutical businesses in the first
 quarter of 2001 increased 27% to $365 million before Pharmacia's minority
 interest in the Monsanto subsidiary.  On an adjusted basis, earnings for the
 agricultural business in the first quarter of 2001 improved 1% to $68 million.
     In addition, the company completed its acquisition of Sensus Drug
 Development Corporation and signed a co-development and co-promotion agreement
 with Celltech Group plc for a new rheumatoid arthritis compound.  As
 previously announced, these transactions resulted in special charges totaling
 5 cents per share in the first quarter.
     "We are very pleased with our first quarter results and the continuing
 strong performance of our pharmaceutical business," said Pharmacia Chairman
 and Chief Executive Officer Fred Hassan.  "After our first full year as a new
 company, we can say with confidence that we have delivered the top tier
 performance that we promised, while positioning Pharmacia for strong, long
 term growth.  We have done so by focusing intently on revenue generation,
 while achieving our planned merger synergies and cutting costs."
 
     Performance of Pharmaceutical Businesses
 
      US $(millions)                       First Quarter 2001    Q1 % Change
 
     Total Pharmaceutical Sales                        $3,210            13%
     Key Rx Products:
     Celebrex                                            $649            24%
     Ambien                                              $215           114%
     Xalatan                                             $200            24%
     Camptosar                                           $137            72%
     Detrol LA/Detrol                                    $135            35%
     Genotropin                                          $117             4%
 
     Pharmaceutical sales growth in the first quarter was driven by a 18%
 increase in U.S. prescription sales.  On a global basis, prescription sales
 increased 15%, 19% excluding the impact of exchange.
     Celebrex, the number-one selling arthritis medication, had sales of
 $649 million in the quarter.  Sales outside the U.S. increased to $180 million
 driven by the successful launch of Celebrex in key European markets.  In the
 U.S., sales for the quarter were impacted by trade purchasing which took place
 in the fourth quarter in advance of a price increase.
     Xalatan, the world's top selling branded glaucoma medication, continued to
 grow in all major markets.  Sales were $200 million in the first quarter, an
 increase of 24% over prior year.  Xalatan is the number one prescribed
 glaucoma medication in the U.S., Europe and Japan. Sales of Xalatan outside
 the U.S. continue to account for more than 50% of worldwide sales.
     Sales of Camptosar were $137 million in the first quarter, a 72% increase
 over the first quarter of 2000.  Camptosar received FDA approval in 2000 for
 first-line treatment of metastatic colorectal cancer.  First-line use now
 accounts for more than half of sales.  A Camptosar-containing regimen
 represents a standard of care for patients with metastatic colorectal cancer
 based on its demonstrated survival benefit.
     Detrol LA/Detrol, recorded sales of $135 million in the first quarter.
 Sales in the U.S. were $105 million reflecting strong demand for the new,
 once-daily Detrol LA which Pharmacia introduced in January.  The launch of
 Detrol LA has increased Pharmacia's share of new prescriptions in the
 overactive bladder market from 47% at the end of 2000 to 53% in the first
 quarter.  Detrol LA also received approval in Sweden under the Mutual
 Recognition procedure during the first quarter where it will be marketed as
 Detrusitol SR.
     Sales of Genotropin, the world's leading growth hormone increased 4% to
 $117 million.  In the U.S., sales increased 19% in the first quarter driven by
 new patient starts in pediatric and adult patients with growth hormone
 deficiency and in patients with Prader Willi Syndrome.  Outside the U.S.,
 volume gains were offset by weaker currencies in Europe and Japan.
     Zyvox, the company's new antibiotic for severe Gram-positive infections,
 recorded sales of $23 million in the first quarter.  The company launched
 Zyvox in the United Kingdom, its first European market, in February and
 received regulatory approval in Japan earlier this month.
     Sales of Ambien, the leading brand for insomnia in the U.S., increased
 114% to $215 million in the quarter.  Sales growth was impacted by trade
 purchasing in advance of a price increase in March.
 
     Other Pharmaceutical Businesses
 
     Sales in the other pharmaceutical businesses, which include Pharmacia's
 Consumer Healthcare, Animal Health, and Diagnostics businesses, increased
 1% during the quarter, 5% excluding the impact of currency.  Consumer
 Healthcare sales increased 9%, while sales in the Animal Health business were
 up 14% based in part on a renewed focus on the key brand Naxcel/Excenel.
 
     Performance of Agricultural Business
 
     Sales for Monsanto Company, the agricultural subsidiary of Pharmacia,
 decreased 1 percent, to $1.3 billion, in the first quarter.  Global sales of
 Roundup herbicide were down 8 percent, with an increase in U.S. sales more
 than offset by lower sales in other markets.  Sales of seeds and biotechnology
 traits were up 2 percent with trait revenue driving the improvement as
 compared with first-quarter 2000 sales.
 
     Results of Operations
 
     Pharmacia Corporation's gross margin improved 2 percentage points in the
 first quarter to 68%, driven by improved margins in the pharmaceutical
 business.
     Selling, General & Administrative (SG&A) expenses increased 2 percentage
 points to 38% of sales in the first quarter reflecting investments in European
 launches of Celebrex as well as the impact of co-promotion and other payments
 related to Celebrex.  Research & Development expenses decreased 3 percentage
 points to 14% of sales in the first quarter vs. the year-earlier period.  As
 previously communicated, R&D spending for the full year will be approximately
 15% of sales.
     All Other Net was an expense of $17 million in the quarter compared with
 income of $59 million due in part to increased payments to Sanofi-Synthelabo
 in connection with the U.S. marketing agreement for Ambien.  All Other Net
 comparisions also reflect a one-time gain in the first quarter of 2000 from
 the divestment of the Nutrition business in China.
     The company's overall estimated annual effective tax rate is 29% excluding
 merger and restructuring and certain other items.
 
     Other Developments
 
     During the quarter, the company submitted a New Drug Application (NDA) to
 the U.S. Food and Drug Administration (FDA) for valdecoxib for the treatment
 of acute pain, dysmenorrhea, osteoarthritis and rheumatoid arthritis.
 Valdecoxib is an oral, second-generation COX-2 specific inhibitor and the
 third product to emerge from Pharmacia's leading COX-2 research effort.
     Earlier this month, the company announced receipt of an approvable letter
 from FDA for the supplemental NDA it has submitted seeking changes to the
 prescribing information for Celebrex to include results of the Celecoxib
 Long-term Arthritis Safety Study (CLASS).  An approvable letter does not
 constitute formal approval of an application, but indicates FDA's willingness
 to approve an application should specific information and/or conditions be
 met.
     In March, Pharmacia and Celltech Group plc announced an agreement for the
 co-development and co-promotion of Celltech's proprietary compound CDP 870.
 CDP 870 belongs to a new therapeutic class of medicines which show promise in
 certain autoimmune and inflammatory diseases.  CDP 870 is being developed as a
 new treatment for rheumatoid arthritis.
     Pharmacia also announced in March the acquisition of Sensus Drug
 Development Corporation, a privately held Texas-based company.  Pharmacia
 completed the acquisition following the submission of an NDA by Sensus for
 Somavert, an investigational treatment for acromegaly.
 
     Pharmacia Corporation (NYSE:   PHA) is a top-tier global pharmaceutical
 company with a leading agricultural subsidiary.  Pharmacia's innovative
 medicines and other products save lives and enhance health and wellness.
 Pharmacia's 59,000 people work together with many diverse stakeholders to
 bring these benefits to people around the world, and to create new health
 solutions for the future.
     Among Pharmacia's many important innovations is Celebrex, the world's
 leading prescription arthritis medicine.
 
     Certain statements contained in these comments are "forward-looking
 statements" provided under the "safe harbor" protection of the Private
 Securities Litigation Reform Act of 1995.  Examples of forward-looking
 statements are anticipated financial results, financial projections, business
 prospects, future product performance, future research and development
 results, Expected regulatory actions and other matters that are not historical
 facts.  These forward-looking statements are based on the information
 available, and the expectations and assumptions deemed reasonable by the
 Company, at the time when the statements are made.  However, because these
 forward-looking statements are subject to many risks, uncertainties and
 changes over time, actual results may differ materially from those expressed
 or implied by such forward-looking statements.  Among the many factors that
 may cause or contribute to actual results being materially different from
 those expressed or implied by such forward-looking statements are
 acquisitions, divestitures, mergers, licenses or strategic initiatives that
 change the Company's structure or business; competitive effects from current
 and new products, including generic products, sold by other companies; price
 constraints imposed by managed care groups, institutions and government
 agencies; governmental actions to provide lower cost pharmaceutical products;
 the Company's ability to continue to discover and license new compounds,
 develop product candidates, obtain regulatory approvals and market new
 products; the Company's ability to secure and defend its intellectual property
 rights; the Company's ability to attract and retain management and other key
 employees; product developments, including adverse reactions or regulatory
 actions; social, legal and political developments, especially those relating
 to health care reform, pharmaceutical pricing and governmental and public
 acceptance of biotechnology; unusual seasonal conditions in agricultural
 markets; new product, antitrust, intellectual property or environmental
 liabilities; changes in foreign currency exchange rates or general economic or
 business conditions; changes in applicable laws and regulations; changes in
 accounting standards or practices; and such other factors that may be
 described in Company filings with the U.S. Securities and Exchange Commission.
 
 
     GEOGRAPHIC PHARMACEUTICAL SALES (US$ in millions, unaudited)
     First Quarter
 
                               First Quarter               %      % Change
                                        2001          Change     Excluding
                                                                  Currency
 
     United States                   $ 1,671             13%           13%
     Japan                              $194            (7)%            3%
     Italy                              $142              4%           11%
     France                             $141             57%           68%
     Germany                            $126             16%           24%
     United Kingdom                     $119             17%           26%
     Rest of World                      $817             14%           22%
     Net Sales                       $ 3,210             13%           17%
 
     SALES BY BUSINESS (US$ in millions, unaudited)
     First Quarter
 
                      First Quarter 2001   First Quarter 2000     % Change
                                                                  Net Sales
 
     US                 Total         US   Total       US     Total
     Total Pharma      $1,671     $3,210  $1,484   $2,851       13%      13%
     Total Ag            $876     $1,306    $776   $1,321       13%     (1)%
     Total
      Pharmacia Corp.  $2,547     $4,516  $2,260  $ 4,172       13%       8%
 
 
     PHARMACIA CORPORATION CONSOLIDATED STATEMENT OF EARNINGS (unaudited) - for
     the first quarter ended March 31, 2001
     ($s in millions, except diluted per-share data):
 
                               First Quarter   First Quarter             %
                                        2001            2000        Change
 
     Net sales                        $4,516          $4,172            8%
     Cost of product sold              1,441           1,404            3%
     Research & development(1)           747             695            7%
     Selling, general
      & administrative(2)              1,723           1,602            8%
     Amortization of goodwill             61              57            7%
     All other, net                       17            (59)           N/A
     Merger & restructuring(3)           145             461         (69%)
     Earnings before
      interest and taxes (EBIT)          382              12           N/A
     Interest expense, net                43              68         (37%)
     Earnings before income taxes        339            (56)           N/A
     Provision for income taxes           77            (25)           N/A
     Minority Interest of subsidiaries,
      net of tax(4)                        8              --           N/A
     Earnings from
      continuing operations(5)           254            (31)           N/A
     Gain (loss) on sale of discontinued
     Operations, net of taxes            (5)              58           N/A
     Earnings before cumulative
      effect of accounting change,
      net of tax                         249              27           N/A
     Cumulative effect of accounting
      change, net of tax                   1           (198)           N/A
     Net earnings                        250           (171)           N/A
     Earnings per common share:
     Diluted - Earnings from continuing
      operations                        $.19          $(.03)           N/A
     Diluted - Net Earnings             $.19          $(.14)           N/A
     Total shares - diluted
      (in millions)                    1,328           1,286           N/A
 
     (1) First quarter 2001 includes a $67 ($42 net of tax or 3 cents per
         share) charge associated with the Sensus purchase acquisition, and $50
         ($31 net of tax or 2 cents per share) related to an upfront R&D
         payment for the compound CDP 870 agreement with Celltech Group plc.
     (2) First quarter 2000 includes $100 ($62 net of tax or 5 cents per share)
         charitable contribution.
     (3) First quarter 2001 charges are $145 ($98 net of tax or 8 cents per
         share) and 2000 charges are $461 ($323 net of tax or 25 cents per
         share).
     (4) Excluding Monsanto's restructuring activities, Minority Interest of
         subsidiaries, net of tax would be $10
     (5) Earnings from continuing operations for first quarter 2000 have been
         restated for the effect of SAB 101 resulting in a reduction of $114
         from the amount previously reported ($120 decrease in sales, $1
         decrease in cost of sales, and $5 decrease in R&D). The net of tax
         impact is $71.
 
 
     PHARMACIA CORPORATION OPERATIONS EXCLUDING AGRICULTURAL (unaudited) - for
     the first quarter ended March 31, 2001
     ($s in millions, except diluted per-share data):
 
                               First Quarter   First Quarter             %
                                        2001            2000        Change
 
     Net sales                        $3,210          $2,851           13%
     Cost of product sold                742             716            4%
     Research & development(1)           613             550           11%
     Selling, general
      & administrative(2)              1,413           1,279           11%
     Amortization of goodwill             30              28            8%
     All other, net                       13            (68)           N/A
     Merger & restructuring              124             465         (73%)
     Earnings before
      interest and taxes (EBIT)          275           (119)           N/A
     Interest expense, net                24               7          217%
     Earnings before income taxes        251           (126)           N/A
     Provision for income taxes           44            (52)           N/A
     Minority Interest of subsidiaries,
      net of tax(3)                        8              --           N/A
     Earnings from continuing
      operations(4)                      199            (74)           N/A
 
     Depreciation and amortization are $155 for first quarter 2001.
 
     (1) First quarter 2001 includes a $67 ($42 net of tax or 3 cents per
         share) charge associated with the Sensus purchase acquisition, and $50
         ($31 net of tax or 2 cents per share) related to an upfront payment
         for the compound CDP 870 agreement with Celltech Group plc.
     (2) First quarter 2000 includes $100 ($62 net of tax or 5 cents per share)
         charitable contribution.
     (3) Excluding Monsanto's restructuring activities, Minority Interest, net
         of tax would be $10.
     (4) Earnings for first quarter 2000 have been restated for the effect of
         SAB 101 resulting in a reduction of $5 from the amount previously
         reported ($3 net of tax with no per share impact).
 
 
     PHARMACIA CORPORATION AGRICULTURAL OPERATIONS
     (unaudited) - for the first quarter ended March 31, 2001
     ($s in millions):
 
                               First Quarter   First Quarter             %
                                        2001            2000        Change
 
     Net sales                        $1,306          $1,321          (1%)
     Cost of product sold                699             688            2%
     Research & development              134             145          (8%)
     Selling, general & administrative   310             323          (4%)
     Amortization of goodwill             31              29            6%
     All other, net                        4               9         (55%)
     Merger & restructuring               21             (4)           N/A
     Earnings before interest
      and taxes (EBIT)                   107             131         (18%)
     Interest expense, net                19              61         (68%)
     Earnings before income taxes         88              70           25%
     Provision for income taxes           33              27           23%
 
     Earnings from continuing
      operations(1)                       55              43           28%
 
     Depreciation and amortization are $137 for the first quarter 2001.
 
     (1) Earnings from continuing operations for first quarter 2000 have been
         restated for the effect of SAB 101 resulting in a reduction of $119
         from the amount previously reported ($120 decrease in sales and $1
         decrease in cost of sales).  The net of tax impact is $74.
 
 
     KEY PHARMACEUTICAL PRODUCT SALES  (US$ in millions, unaudited)
     First Quarter
 
                         First Quarter      First Quarter       Q1 % Change
                              2001                2000
 
                           US      Total      US    Total        US    Total
     Celebrex            $469       $649    $473     $525      (1%)      24%
     Ambien              $214       $215     $99     $100      114%     114%
     Xalatan              $98       $200     $86     $161       14%      24%
     Camptosar           $125       $137     $73      $80       71%      72%
     Detrol LA/Detrol    $105       $135     $76     $101       38%      35%
     Genotropin           $24       $117     $21     $113       19%       4%
     Xanax                $23        $76     $30      $84     (24%)    (10%)
     Cleocin              $31        $75     $32      $80      (2%)     (7%)
     Medrol               $26        $72     $14      $66       84%       8%
     Nicorette Line       $19        $66     $18      $55        5%      20%
     Depo-Provera         $50        $65     $44      $56       12%      17%
     Pharmorubicin
      /Ellence            $ 9        $60     $ 1      $50      788%      18%
     Fragmin              $11        $53     $ 9      $58       26%     (9%)
     Arthrotec            $18        $45     $28      $55     (36%)    (20%)
     Aldactone/Spiro Line $ 3        $42     $ 6      $44     (56%)     (6%)
     Mirapex              $29        $39     $26      $30       14%      28%
     Cabaser/Dostinex     $10        $37     $ 7      $25       37%      50%
     Rogaine              $26        $34     $24      $32       11%       8%
     Pletal               $25        $26     $ 9      $ 9      191%     184%
     Zyvox                $21        $23      --       --       N/A      N/A
 
     PHARMACEUTICAL SALES BY BUSINESS (US$ in millions, unaudited)
     First Quarter
 
                      First Quarter 2001   First Quarter 2000      % Change
                                                                   Net Sales
 
     US                 Total         US   Total       US     Total
     TOTAL RX Pharma   $1,481     $2,729  $1,257   $2,374       18%      15%
     Consumer Health      $79       $179     $78     $165        1%       9%
     Animal Health        $58       $113     $51     $100       13%      14%
     Misc. Pharma         $53       $189     $98     $212     (46%)    (11%)
     TOTAL OTHER Pharma  $190       $481    $227     $477     (16%)       1%
     TOTAL PHARMA      $1,671     $3,210  $1,484   $2,851       13%      13%
 
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 SOURCE  Pharmacia Corporation