Managing Organization Change ip1

A Short History of BARTH, Inc.

BARTH first began business in 1970 as Biologics and Analgesics Resources, LLC. It was

the brain child of two cousins, Dr. John Babcock, a Harvard educated biochemist, and

James Haworth, MD. Dr. Haworth, an expert in pain management and osteoarthritis, is

credited with the discovery of a class of compounds known for their potency in treating

arthritis and inflammation. The patents from his discovery generated the resources for

these two visionaries to start their own research laboratory.

Drs. Haworth and Babcock wanted to apply the work being done on human DNA. They

recognized a need to overcome a major hurdle; there was no robust process for matching

molecules of potential therapeutic compounds to specific receptor sites. The process they

developed succeeded beyond their wildest dreams. As the wealth of information being

generated from the human genome project grew, they led all companies in creating

products that block pain and inflammation. With over 24 new products discovered and

launched in a 15-year period, they enlisted the help of pharmaceutical marketing genius

Roy Shutte to create their own sales and marketing group. Shortly thereafter, James

McDermott joined the executive team to start-up manufacturing operations. By 1995, they

had transformed the company from a research firm into one of the most innovative

proprietary pharmaceutical companies in the United States. All of which was funded from

their own discoveries and product introductions. To help maintain their growth they

recruited a diverse and highly experienced board of directors, and appointed Roy Shutte

Chairman.

In 1999, they decided to go public to generate funds to expand their U.S.-based

manufacturing and marketing operations overseas. Under the leadership of Roy Shutte,

they formed strategic alliances with key partners in Europe, Latin America, and Asia to

build a global presence. BARTH currently has sales operations in 72 countries world-

wide, promoting its extensive line of anti-inflammatory compounds, along with a few

novel molecules for fighting infectious diseases. They now have manufacturing operations

in Puerto Rico, Ireland, India, Brazil, and Singapore.

Dr. Haworth decided to retire from the rigors of being President and CEO at the age of 75

in 2002, turning over the reins of the company to one of the most respected sales and

marketing executives in the pharmaceutical industry Kenneth Martin. Dr. Babcock is on

the Board and is active in the company as head of Research and Development. James

McDermott remains as executive Vice President of Operations. Tragically, Roy Shutte

died in December of 2003, with Dr. Jean Paul Dupres moving from CFO to take the

chairmanship. In 2005, the company expected to integrate all its subsidiaries and strategic

alliances into a truly global corporation: one that will lead the pharmaceutical industry in

its category.