Houston Biotechnology Inc., which is developing potential drugs forophthalmic disorders, cut its work force by 30 percent Wednesday.

Officials of the company, based in The Woodlands, Texas, could notbe reached for comment. The layoffs are part of a spending reductionplan, which was announced in the company's financial results for thequarter ending Dec. 31, 1994.

Houston Biotechnology said it will focus its resources ondevelopment of its lead product, 4197X-RA immunotoxin, forpreventing secondary cataracts in patients who undergo cataractsurgery. The company reported that "other research programs havebeen curtailed," but it did not provide details.

In a prepared statement, Russell Denson, president and CEO, said he"is seeking additional funding to support its research anddevelopment activities."

For 1994, Houston Biotechnology reported a net loss of $4.2 millionand ended the year with $2.2 million in cash.

Last October the company reported that interim data from a PhaseI/II trial of 4197X-RA revealed that patients treated with the drugshowed a trend toward less lens capsule opacification. Theimmunotoxin is designed to reduce residual lens epithelial cellsfollowing primary cataract surgery. Additional data on the trials isscheduled for release at scientific conferences in San Diego in Apriland Fort Lauderdale, Fla., in May.

Houston Biotechnology's stock (AMEX: HBI) closed Wednesday at94 cents, up 12 cents. _ Charles Craig

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