Mail Stop 6010 Via Facsimile and U.S. Mail September 15, 2005 Mr. Jorg Spiekerkotter Chief Financial Officer Schering Aktiengesellschaft Muellerstrasse 178 13353 Berlin Federal Republic of Germany Re:	Schering Aktiengesellschaft 		Form 20-F for Fiscal Year Ended December 31, 2004 	 File No. 001-16143 Dear Mr. Spiekerkotter: We have limited our review of your filing to the issue we have addressed in our comment. In our comment, we ask you to provide us with information so we may better understand your disclosure. After reviewing this information, we may raise additional comments. 	Please understand that the purpose of our review process is to assist you in your compliance with the applicable disclosure requirements and to enhance the overall disclosure in your filing. We look forward to working with you in these respects. We welcome any questions you may have about our comments or any other aspect of our review. Feel free to call us at the telephone numbers listed at the end of this letter. Item 5. Operating and Financial Review and Prospects 1. We believe that your disclosure related to estimates that reduce gross revenue such as product returns, rebates and discounts could be improved. Please provide us the following information in disclosure- type format: a. The nature and amount of each accrual at the balance sheet date and the effect that could result from using other reasonably likely assumptions than what you used to arrive at each accrual such as a range of reasonably likely amounts or other type of sensitivity analysis. b. The factors that you consider in estimating each accrual such as historical return of products, levels of inventory in the distribution channel, estimated remaining shelf life, price changes from competitors and introductions of generics and/or new products. c. To the extent that information you consider in b) is quantifiable, disclose both quantitative and qualitative information and discuss to what extent information is from external sources, such as end- customer prescription demand, third-party market research data comparing wholesaler inventory levels to end-customer demand. For example, in discussing your estimate of product that may be returned, explain, preferably by product and in tabular format, the total amount of product in sales dollars that could potentially be returned as of the balance sheet date and disaggregated by expiration period. d. If applicable, any shipments made as a result of incentives and/or in excess of your customer`s ordinary course of business inventory level. Disclose your revenue recognition policy for such shipments. e. A roll forward of the accrual for each estimate for each period presented showing the following: * Beginning balance, * Current provision related to sales made in current period, * Current provision related to sales made in prior periods, * Actual returns or credits in current period related to sales made in current period, * Actual returns or credits in current period related to sales made in prior periods, and * Ending balance. f. Regarding your discussion of results of operations for the period to period net sales comparisons, the amount of and reason for fluctuations for each type of reduction of gross sales, i.e. product returns, rebates and discounts, including the effect that changes in your estimates of these items had on your net sales and operations. * * * * Please respond to the comment within 10 business days or tell us when you will provide us with a response. Please furnish a letter that keys your response to our comment and provides requested information. Detailed letters greatly facilitate our review. Please file your letter on EDGAR under the form type label CORRESP. 	We urge all persons who are responsible for the accuracy and adequacy of the disclosure in the filings to be certain that the filing includes all information required under the Securities and Exchange Act of 1934 and that they have provided all information investors require for an informed investment decision. Since the company and its management are in possession of all facts relating to a company`s disclosure, they are responsible for the accuracy and adequacy of the disclosures they have made. 	In connection with responding to our comment, please provide, in your letter, a statement from the company acknowledging that * the company is responsible for the adequacy and accuracy of the disclosure in the filings; * staff comments or changes to disclosure in response to staff comments do not foreclose the Commission from taking any action with respect to the filing; and * the company may not assert staff comments as a defense in any proceeding initiated by the Commission or any person under the federal securities laws of the United States. 	In addition, please be advised that the Division of Enforcement has access to all information you provide to the staff of the Division of Corporation Finance in our review of your filing or in response to our comments on your filing. You may contact Todd Sherman, Staff Accountant, at 202-551- 3665 or Don Abbott, Senior Accountant, at 202-551-3608 if you have questions regarding the comment. In this regard, do not hesitate to contact me, at (202) 551-3679. 							Sincerely, 							Jim B. Rosenberg 						Senior Assistant Chief Accountant ?? ?? ?? ?? Jorg Spiekerkotter Schering Aktiengesellschaft September 15, 2005 Page 3