ELI LILLY <LLY> TO SELL ELIZABETH ARDEN UNIT
Eli Lilly and Co said its board
decided to sell Elizabeth Arden Inc, a wholly owned subsidiary
that manufactures and markets cosmetics and fine fragrance
products.
    It said the business, which had sales of 67 mln dlrs when
it was acquired in 1971, had sales last year of 398 mln dlrs,
up 12 pct from 1985. It had operating profits of about 33 mln
dlrs in 1986.
    Lilly said it retained Morgan Stanley and Co to help
evaluate offers.
    Lilly said it expects to use the after-tax proceeds from
the sale of its cosmetics business for general corporate
purposes, including the repurchase from time to time of its
common stock or warrants on the open market.
    In a statement, Lilly Chairman Richard Wood said "This
strategic decision was reached on the basis of our belief that
in the future the corporation's resources, including its
research activities, should be focused on its other business
which have a high technology, life sciences orientation."
 Reuter
